Written by Tun Kyaw
Border News Agency
Kyaukphru, June 30

Military analysts say the Arakan Army (AA) has intensified its offensive to fully seize Kyaukphru Township, where Chinese investment projects are located.

The AA’s attacks have become more aggressive, with clashes reportedly taking place in three locations within the Special Economic Zone project area.

Local residents from Kyaukphru also report that fighting has been occurring in areas about three miles away from the town.

The Arakan Army began its operations in Kyaukphru Township earlier this year, following the full seizure of neighboring Rambre Township.

Since the third week of February, the AA has launched repeated attacks on the junta’s Danyawaddy Naval Headquarters, with reports of ongoing and intense clashes in the area.

At the Danyawaddy Naval Headquarters, in addition to naval warships, over a thousand reinforcements have reportedly been deployed to strengthen the base. Ground military sources say that large naval vessels have also been restocked with troops and weapons to support combat operations.

“The Danyawaddy Naval Headquarters has the strongest naval presence. It’s also there to protect China’s strategic interests. A submarine has been prepared and stationed in the sea between Kyaukphru and Ramree. It was deployed even before the fighting began. The naval force in Rakhine is the most powerful,” an officer from the Danyawaddy Naval Headquarters in Kyaukphru Township told Border News Agency.

The Danyawaddy Naval Headquarters oversees several subordinate units, including Naval Communications Unit No. 11, Naval Logistics Unit No. 12, Naval Administration Unit No. 13, Naval Ordnance and Ammunition Unit No. 14, Naval Technical and Mechanical Unit No. 15, and the Naval Fleet Unit No. 16. It also commands the Naval Base Unit No. 18, and the frontline Naval Camp Unit No. 19 located in Manaung Township.

According to sources within the junta’s navy, the Danyawaddy Naval Headquarters commands more than twenty small naval warships and plays a central role in directing naval operations. It reportedly has over a thousand combined ground and naval personnel under its command.

Military sources say the clashes in the area have now reached an extremely intense level.

“The current clashes are more intense than before. There are Chinese factories within a one-mile radius of the fighting area. The junta is defending and counterattacking with heavy weapons and drones,” said a local resident from Kyaukphru.

Kyaukphru, located at the outlet of the Indian Ocean, is also home to China’s strategic infrastructure, including oil and natural gas pipelines connecting to Kunming, as well as planned deep-sea port projects.

These projects are key components of China’s Belt and Road Initiative (BRI) in Southeast Asia.

After the military seized power from the civilian government in February 2021, the junta attempted to push forward the development of the Kyaukphru deep-sea port. However, the project has yet to be realized to this day.

The concession agreement for the deep-sea port project within the Kyaukphru Special Economic Zone was signed between Myanmar and China on November 5, 2000.

However, due to political instability following the military takeover, the project could not be realized. As a result, an addendum to the agreement was signed on December 26, 2023, extending the contract period by 18 months.

The addendum to the agreement expired on June 26.

The Arakan Army’s Kyaukphru Military Operation

In the final phase of the war, the Arakan Army has fully captured and controlled fifteen townships, including the Paletwa area.

Currently, only three townships Sittwe, Kyaukphru, and Manaung remain outside their control, with the Arakan Army actively conducting offensive operations targeting Kyaukphru Township.

The junta forces hold control only over the urban wards of the town, while the Arakan Army controls the surrounding rural areas.

The Arakan Army has repeatedly stated its intention to launch full-scale offensives to completely capture all those remaining townships.

On March 25, 2024, the Arakan Army (AA) issued a statement expressing their willingness to recognize and welcome any foreign investments that bring benefits and support regional development for Rakhine State. They emphasized their commitment to protecting the security and safety of investors and investment projects. Furthermore, the AA and ULA expressed their hope that foreign investors and development projects seeking to operate in the region will cooperate and coordinate directly with the ULA/AA leadership to ensure smooth and secure operations.

Military analysts say that the Arakan Army controls over 90 percent of the territory in Kyaukphru Township.

However, political observers note that in the full-scale offensives to completely capture Kyaukphru Township, the Arakan Army is likely to face significant sacrifices.

“Even from the ULA’s perspective, there will be many sacrifices,” said Major General Min Tun of the Arakan National Council (ANC).

Military sources report that in the ongoing battles in Kyaukphru, the junta forces are defending by coordinating ground, air, and naval units.

The Arakan Army’s offensives have effectively reached and impacted the No. 32 Police Battalion near Kyaukphru town.

Because of this, the junta forces are fiercely defending the No. 32 Police Battalion by coordinating land, air, and naval units to prevent its collapse. Military sources say that if the No. 32 Police Battalion falls, Kyaukphru town could be easily captured.

In these battles, several high-ranking junta strategists have been killed, and regional military commanders have also been captured.

Although there are several junta battalions in Kyaukphru Township, the No. 32 Police Battalion is the strongest and most strategically important unit. Therefore, the junta is concentrating its heaviest weapons, troops, and artillery to defend it.

Military sources say that if these police battalion falls, the remaining junta forces could be easily captured, but the Danyawaddy Naval Headquarters would still require a prolonged campaign to take over.

Civilians Trapped Amid the Kyaukphru Battles

The intense fighting in Kyaukphru Township began in the third week of February, and the fighting has now lasted for over four months.

Around 170,000 people live in Kyaukphru town and its surrounding rural areas. Due to the ongoing battles, tens of thousands of local residents have been forced to flee to safer places.

Junta forces have blocked maritime travel in the area through local orders citing security reasons, creating significant challenges for locals who depend on fishing and water-based livelihoods, residents say.

“Our job opportunities are very limited here. About seventy out of every hundred people in Kyaukphru Township depend on fishing for their livelihood. But with the junta’s naval ships constantly patrolling the waters, fishing activities have come to a halt. Because of this, life has become much harder,” said a local resident of Kyaukphru.

Junta naval officers say that because their ground forces are insufficient, they have reinforced their naval strength the most by deploying the largest number of personnel from across Myanmar’s navy and have even prepared submarines for combat readiness.

As a result, with heavy weapons, missiles, naval vessels, fighter jets, and drones being used in attacks, local civilians are suffering casualties and injuries, and they also face the dangers of landmines, according to residents of Kyaukphru.

Residents of Kyaukphru say that Chinese personnel working in the town have begun relocating to safer areas.

“With the fighting intensifying around Kyaukphru, civilian staff involved in Chinese projects are being moved to secure locations. It is also reported that Chinese nationals are relocating to safer places,” a local resident said.

After capturing most towns, including the Paletwa area, the Arakan Army has stated its intention to resolve armed conflicts through political means.

“We are ready to pursue a political solution,” the Arakan Army announced on December 29 of last year.

However, there have been no official meetings or joint statements between the junta and the Arakan Army so far.

“Aiming to capture Kyaukphru, where China’s key projects are concentrated, could create pressure that leads to dialogue and negotiations,” a political analyst observed.

The Future of Chinese Projects in Kyaukphru

In a statement released on June 8, the Chinese Embassy in Myanmar reported that over the past year, Myanmar exported more than 100 million tons of oil and natural gas to China.

China’s gas and oil pipelines, the Special Economic Zone projects, and the planned railway projects all pass through territories controlled by the Arakan Army.

In Kyaukphru town, the natural gas and oil pumping stations, as well as the electricity generation plants operated by Chinese companies, remain under junta control.

In April, the Arakan Oil Watch group, which monitors the Chinese oil pipeline in the Arakan region, released a report.

The report states that whether or not the Arakan Army fully controls Kyaukphru Township, all related projects have come under the Arakan Army’s sphere of influence.

Although the Arakan Army’s offensives are taking place within the Kyaukphru Special Economic Zone, there has been no damage so far to the Chinese natural gas pipelines and related facilities.

In addition, residents of Kyaukphru report that natural gas and oil are still being transported from Kyaukphru to Kunming, China, as usual.

“The Chinese oil and gas pipelines stretch for many miles across Myanmar from east to west. Although China is not well-liked by many here, and no group has sabotaged its interests, the operations continue to run to this day. Despite the Arakan Army’s offensives in Kyaukphru Township, Chinese investments have not suffered any damage so far. The AA has also assured protection for foreign investments, which seems to have earned China some level of trust,” said U Pe Than, a former Pyithu Hluttaw representative from Myaybon Township.

China often expresses its desire for peace and stability within Myanmar. However, there has been little to no comment regarding the intense fighting near investment projects in Kyaukphru Township.

Meanwhile, the junta is fiercely defending against the Arakan Army’s offensives by using fighter jets, naval vessels, drones, and ground troops to hold their positions.

If the junta loses control of Kyaukphru Township, all Chinese investments would come entirely under the Arakan Army’s control. Political analysts say that the Chinese government would then be forced to officially recognize and engage in talks with the Arakan Army.

“Regarding Rakhine State’s natural resources and economic interests, negotiations must be held with the ULA/AA, who represent the Rakhine people,” said U Phay Than, a former People’s Assembly representative.

The Arakan Army is launching offensives to fully capture Kyaukphru Township, including the Danyawaddy Naval Headquarters, but they have announced that there are certain limitations they face.

The battle to seize Kyaukphru will be decisive not only for the AA’s military and political strategies but also for foreign investments and the military junta’s ability to provide protection for them.

Because of this, the junta has reinforced its troops, weapons, and resources, fiercely resisting the attacks, while the Arakan Army is employing a variety of military strategies in its offensives, analysts say.