Регионы в современном мире: глобализация и Азия. Зарубежное регионоведение
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These critical situations are concerning the Letpadaung project developed as the dilemmas of Sino-Myanmar relations until NLD’s government came to power. This research examines different primary sources such as interviews, government documents, statistics, field studies in the project area.
Main results
Monywa is the largest city of the Sagaing Division and located at the east bank of the Chindwin river in the central part of Myanmar. There are four large copper mine projects, namely Letpadaung, Sabetaung, Sabetaung South and Kyisintaung in the western part of the town. In 1978, Myanmar started Sabetaung and Kyisintaung mines, which are located next to each other. Letpaduang Copper mine project is located to the southeast of these aforementioned two copper mines. According to the report from the Amnesty, Letpaduang can produce 75% of the copper out of these four projects [Amnesty, 2015. P. 12]. At that time, the Myanmar government managed all projects according to the Socialist economic policy [Maung
In 1996, Myanmar military government opened its economy to the outside world and invited foreign direct investments. Ivanhoe Myanmar Holdings Ltd, a Canadian owned company, had passed the government tests and entered into the joint investments with Minister of Energy (1) [Amnesty, 2015. P. 20]. The agreements were not only for the Letpadaung deposit, but also for all deposits in the Monywa project. However, the existing literatures do not mention these facts, mentioning only the Letpaduang mine. Ivanhoe gave up Monywa projects and sold its 50% 70 share to the third party when the US and the West imposed harsh sanctions on Myanmar in 2007. However, the purchaser’s identity of the Ivanhoe shares was shrouded in secrecy from the media [Amnesty, 2015. P. 99].
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Open for Business? Corporate Crime and Abuses at Myanmar Copper Mine //Amnesty International, P. 99.
In March 2010, The Union of Myanmar Economic Holdings Limited (UMEHL) nationalized 7,867 acres of land for the Letpadaung project. When Chinese Premier Wen Jiabao paid a state visit to Myanmar, the UMEHL and Ministry of Mines from Myanmar side and China North Industries Corporation (NORINCO) signed a US$ 1,1 billion joint investment for Letpadaung Copper Mine Project [Maung Myoe, 2015. P. 38]. Upon investigating the background of NORINCO, it became apparent that is China’s military-owned company. The same applies to its counterpart UMEHL, that was also backed up by the Myanmar military 71 . Only Maung Aung Myoe mentioned these facts [Maung Myoe, 2015. P. 39]. A. Clapp Priscilla reported that Wanbao is a Chinese state-owned company. No one knew when the agreement took place, and how did the parties reach a final agreement [Priscilla, 2015].
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Maung Aung MYOE. Myanmar’s China Policy since 2011: Determinants and Directions // Int. J. Journal of Current Southeast Asian Affairs, 2015. Vol. 34. No. 2. P. 21–54.
However, we should not neglect the fact that Wanbao company is a daughter of NORINCO. Before the NORINCO started managing the completed project, Wenbao Mining Ltd founded two subsidiaries such as Myanmar Wenbao Copper Mining Limited and Myanmar Yang Tse Copper Mining Limited [Myanmar Wanbao Company Limited’s webpage]. It could be confusing for researchers because Ivanhoe controlled the whole Monywe project under the same administration when they managed all mines before [Amnesty, 2015. P. 10]. For Letpaduang Mine, Myanmar Wanbao Copper Mining Ltd has managed the entire project, and Myanmar Yang Tse Copper Mining Ltd has handled the Sabetaung and Kyisintaung mines since 2010 [Amnesty, 2015. P. 10]. The only Letpadaung project became a center of international dispute and a dilemma of Sino-Myanmar relations similar to Chinese mega-projects in Myanmar. It happened because the late Myanmar Military government finalized all significant Chinese investments’ agreements before they transferred country power to the civilian administration in the mid of 2010 [Priscilla, 2015].
Growth of Anti-Protests on Letpadaung Project and investigation Commission Protests before the Commission
On 30 September 2011, the new government’s President Thein Sein suspended the Myitsone Dam General Project. This project is one of the significant Beijing ventures in Myanmar, and two countries reached the final agreement before Myanmar’s first democratic government era and Maung Aung Myoe also highlighted similar idea in his work [Maung Myoe, 2015. P. 37]. Many Myanmar people believe that China is trying to take all of Myanmar natural resources for their development benefits 72 . This mindset has come from a lack of trust in Chinese goods and business practices.
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Maung Aung MYOE. Myanmar’s China Policy since 2011: Determinants and Directions // Int. J. Journal of Current Southeast Asian Affairs, 2015, Vol. 34. No. 2. P. 38.
At the same time, the tensions appear between Myanmar Wanbao and villagers because the regional government forced local people to relocate from their land at the beginning of 2011 [Decicca, 2015]. According to Amnesty’s survey, 30 villages and 6,785 acres of land are located in the project area [Amnesty, 2015. P. 13]. Anti-Chinese activists used the opportunities to influence Letpadaung villagers easily. In the mid of 2012, residents opened the demonstrations camp near the Myanmar Wanbao headquarter 73 . Before the sunrise of the 29th of November 2012, the police disbanded the protest campsite by using tear-bombs and water cannons. Some investigators found that the cops even used white phosphorous [Charltons, 2013. P. 1].
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Letpadaung Investigation Commission Issues Final Report, Myanmar Law Updates //Charltons, April 2013. URL:(date of access: 19.02.2020).
Letpaduang investigation Commission
Therefore, President Thein Sein formed the “Letpadaung Investigation Commission” and requested Aung Sann Su Kyi to become its chairperson on 1 December 2012 [Charltons, 2013. P. 1]. The President’s office appointed 16 members on the commission including military and police officers, academics and dignitaries. As a leader of the investigation commission, Aung San Su Kyi clearly understood the Chinese role in Myanmar Domestic policy and underlying Beijing’s interests 74 , and Yun Sun also indicated it in her work [Yun Sun, 2015].
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Yun Sun. Can the NLD and China usher in a new era in relations? // The Myanmar Times, 2015.
The commission visited the Letpadaung Mine project area from 5th to 15th of December 2012. At the same time, commissioners also met with the injured demonstrators in the Monywa hospitals and Yangon General Hospital. According to the commission’s report, there were 108 people and 99 monks injured in the incident 75 . According to Charlton, the investigators observed that the commission met with the Police Chief of Staff and Police colonel accountable for the Sagaing Region [Charltons, 2013. P. 3], and discussed the details about the crackdown incidents of the 29th of November. Later, the Minister of Home Affairs removed several police officers from their current duties in Sagaing Region as stated in the local newspapers. When Aung San Su Kyi met with the villagers, they responded with emotional words. Su Kyi told the villagers, “If we stop this project, it will not benefit the local community, or the country and they might think that our country cannot be trusted on the economy.” at the Letpadaung [Charltons, 2013. P. 4]. She also argued that “Myanmar needs Chinese investment. We have to get along with [China] whether we like it or not” [Ramachandran, 2016].
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Letpadaung Investigation Commission Issues Final Report, Myanmar Law Updates //Charltons, April 2013. URL:(date of access: 19.02.2020).
The commission also visited the Moneywa mine project areas, not only Letpaduang but also Sabetaung and Kyaysintaung projects. In March 2013, the investigation commission delivered its final report to the President and publishing it in governmental newspapers [Mizumo, 2016. P. 113]. However, the commission agreed to continue the Letpadaung Copper Mine Project recommending 42 essential suggestions to the mines’ investors. Official Beijing being satisfied with the final report of the commission and sent the Chinese ambassador to pay visit to Aung San Su Kyi’s residence, expressing his congratulation on behalf of the Chinese government on the 24th of April 2013 [BBC]. Myanmar Wanbao also released its statement, promising that “they will continue contributing to the sustainable development of our local community and of Myanmar as a whole” [Charltons, 2013. P. 3].
In the new contract, Myanmar Wanbao, UMEHL, and the government specified new profit-sharing of the project by allocating 51% to the Myanmar government, 30% to Myanmar Wanbao, and 19% to the UMEHL. On the other hand, the investors have to use one million US$ for corporate social responsibility and two million US$ for the annual environmental preservation [Mizumo, 2016. P. 113]. Yun Sun noted that “the investigation committee for the Letpdaung copper mine project, which she (Aung San Su Kyi) chaired, approved the continuation of the joint venture despite opposition from local residents and Myanmar society in general… her position (or rather lack of it) has made her, at the minimum, an acceptable Myanmar politician for China.” [Yun Sun, 2015].
Protests after the Commission
On 13 March 2013, Aung San Su Kyi visited local residents again, shortly after her commission published a final report. At the same time, the villagers did not stop their protests, rather intensifying them more provokingly. She faced emotional counter words from the villagers like during her first trip 76 , but this time they became more depraved and the government responded with tight security for her. The villagers also delivered their opinion that they did not want relocation and compensation, and they were not going to stop until the project shuts down totally [Charltons, 2015. P. 4].
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Letpadaung Investigation Commission Issues Final Report, Myanmar Law Updates // Charltons, April 2013. URL:(date of access: 19.01.2020).