Hillary Clinton Visits Burma, Seeks US entry to Curb Yunnan

Myanmar aims to leverage friendly relations with both the U.S. and China to grow one of Asia’s smallest economies and boost incomes in the region, according to an adviser to President Thein Sein.

China welcomes greater U.S. engagement with Myanmar because a wealthier neighbor would lift the economic growth of Yunnan province and other inland areas, Nay Zin Latt, one of nine advisers who meet Thein Sein “frequently,” said in a Dec. 3 interview a day after Secretary of State Hillary Clintoncompleted the highest-level U.S. visit to Myanmar in 56 years.

“I’m going for a win-win-win situation,” Nay Zinn Latt said in his Yangon office. “China wants us to be more developed. Our country is the gateway to the sea from Yunnan. If we are rich, Yunnan will be rich too. If we are poor, China can only get raw materials.” China’s landlocked southwest province of Yunnan adjoins Myanmar.

During her visit, Clinton offered a path to ease sanctions that have been in place for more than 20 years and have left Myanmar dependent on neighbors China, India and Thailand, which have poured more than $25 billion into ports, power plants, and oil and gas pipelines. Myanmar’s moves to roll back more than five decades of military rule have provided the U.S. an opening to rebuild political and economic ties as President Barack Obamashifts his foreign policy focus to Asia.

China National Petroleum Corp. is building oil and gas pipelines across Myanmar, a move that would allow it to access Middle Eastern crude without having to go through the Malacca Straits. China, Hong Kong and Thailand account for more than 70 percent of total investment into Myanmar, compared with less than one percent for the U.S., according to government statistics.

Sanctions

U.S. sanctions ban imports, restrict money transfers, curb aid funding and target jewelry with gemstones originating in Myanmar. Chevron Corp. (CVX), based in San Ramon, California, is one of the few U.S. companies operating in Myanmar through its 2005 purchase of Unocal Corp., which invested in a gas field and pipeline prior to a 1997 ban on new investment.