Controversial China-Backed New City is Myanmar’s Human Trafficking Hub

By Yan Naing 6 September 2022

Myanmar, remoted from the remainder of the world since final yr’s coup, is quickly turning into a good larger headache for the Southeast Asia area.

Rising incidents of human trafficking have alarmed human rights activists, with reviews that the Shwe Kokko New Metropolis in southeast Myanmar’s Karen State has grow to be a people-trafficking hub. The city, which is dwelling to quite a few Chinese language-owned companies and dubs itself a Particular Financial Zone, sits reverse Thailand on the banks of the Moei River and is managed by the Karen Border Guard Power, which is affiliated with the Myanmar army.

Most victims of human trafficking within the area come from Thailand, Malaysia, Cambodia and Laos, in response to The Diplomat on-line journal. They’re imprisoned and compelled to work as on-line scammers for crime syndicates. A major variety of trafficked individuals are Mandarin or Cantonese audio system, who must work day and evening for the sinister syndicates.

Those that disobey or under-perform face bodily punishment and different types of abuse, the Washington DC-based Diplomat journal mentioned.

With a democratically-elected authorities deposed, the economic system in shambles and persecution of pro-democracy supporters occurring unabated, Myanmar has grow to be the poster youngster for unbridled lawlessness and chaos in Southeast Asia.

Financial circumstances in Myanmar are dire. Since April, the army regime has cracked down closely on using international forex to shore up its dwindling worldwide reserves. Import of many items, together with automobiles, have been banned.

In July, the Central Financial institution of Myanmar ordered corporations with excellent international loans to droop repayments of money owed and regulate reimbursement schedules with international lenders, in response to the Bangkok Put up newspaper.

The World Financial institution in its newest report mentioned that Myanmar’s economic system stays fragile as greenback shortages restrict the supply of key imported merchandise.

As a consequence, heinous crimes like human trafficking are on the rise in Myanmar.

Shwe Kokko has a robust presence of Chinese language traders, employees and guests, many drawn to the realm by the presence of casinos and nightclubs. Some reviews have claimed that Shwe Kokko New Metropolis is a part of China’s Belt and Street Initiative (BRI).

Beijing, although, has denied that and distanced itself from the US$15 billion so-called Particular Financial Zone. In August 2020, China’s embassy in Myanmar mentioned on its Fb that Shwe Kokko “is a third-country funding and has nothing to do with the Belt and Street Initiative.”

Disputing that declare, The Diplomat cited a 2017 report by China’s state-run Xinhua information company which reported that the Shwe Kokko challenge is a crucial element of the BRI. In response to the Xinhua report, the state-owned enterprise China Metallurgical Group Company was engaged in establishing the Shwe Kokko Particular Financial Zone.

The Irrawaddy has a distinct tackle the Shwe Kokko challenge. It mentioned that since final yr’s coup, the Myanmar Funding Fee has stopped making the Shwe Kokko funding approval listing public. The Irrawaddy expressed shock that Beijing selected to distance itself publicly from Shwe Kokko, regardless of it being an vital BRI challenge.

To help its declare that China is formally concerned within the Shwe Kokko challenge, The Irrawaddy cited the Asia-Pacific Excessive-level Convention on BRI Cooperation held in Beijing in June 2021. At this assembly, which was attended by the junta’s international minister U Wunna Maung Lwin, China advised member international locations that it could proceed investing in BRI infrastructure initiatives regardless of the COVID-19 pandemic.

Many observers imagine that Beijing is distancing itself from the Shwe Kokko New Metropolis as a result of the city has grow to be notorious for human trafficking and different crimes. The Yatai Worldwide Holding Group, which has been accused of working unlawful casinos in Cambodia and the Philippines, is a key participant within the challenge.

It appears sure, too, that China is conscious of the human trafficking drawback in Shwe Kokko, and has even vowed to rescue trafficked victims, a few of whom are from mainland China and Hong Kong.

In August, Thai authorities arrested She Zhijiang, Shwe Kokko’s boss and the top of the Yatai Worldwide Holding Group, who’s the topic of a world arrest warrant for allegedly working an unlawful on-line on line casino. He has additionally been concerned in playing ventures in Cambodia and a lottery scheme within the Philippines, in response to a number of media reviews. She Zhijiang is alleged to have been on the run from Chinese language authorities since 2012. Thai authorities have mentioned that the method of extraditing him to China is ongoing.

It is going to be attention-grabbing to see what motion China takes in opposition to She Zhijiang, and the way his arrest will influence Shwe Kokko’s place as Southeast Asia’s newest crime hub. Thus far, although, Shwe Kokko stays unaffected and the human traffickers proceed to ply their vile commerce.

Yan Naing is a pseudonym for a political analyst on Myanmar and China.