"US Plans Additional Sanctions on Two Myanmar Military-Linked Companies"

Myanmar Central Bank Asset Freeze and Additional Sanctions
Myanmar Commander-in-Chief and Family Added to Western Sanctions List

[Image source=EPA Yonhap News]

[Asia Economy Reporter Kim Suhwan] Major foreign media outlets reported that the U.S. government is preparing additional sanctions against companies linked to the Myanmar military. As measures to cut off the Myanmar military's funding are expected to expand further, concerns are also rising that Myanmar's economic dependence on China will increase.

According to major foreign media on the 24th (local time), the U.S. Department of the Treasury plans to impose additional sanctions on two companies known to be owned by the Myanmar military: Myanmar Economic Corporation (MEC) and Myanmar Economic Holdings Limited (MEHL). Citing sources, the media reported that the U.S. Treasury will announce additional sanctions freezing these companies' assets within the United States on the 25th. The Treasury Department has not responded to these reports.

Earlier, the Biden administration announced sanctions freezing $1 billion (approximately 1.135 trillion KRW) in assets held by the Central Bank of Myanmar at the Federal Reserve Bank of New York. In early June, the U.S. Department of Commerce also added four key ministries, including the Myanmar Ministry of Defense and Ministry of Home Affairs, to its export control list. Min Aung Hlaing, the Commander-in-Chief of the Myanmar military who led the coup, and his family are already on the sanctions lists of the U.S., the United Kingdom, the European Union (EU), and Canada.

This move is interpreted as an effort to cut off the Myanmar military's funding, which controls a vast portion of Myanmar's economy?including beer, tobacco, telecommunications, mining, and real estate?through holding companies and subsidiaries. Until now, the Biden administration had been cautious about direct sanctions, fearing that premature measures might accelerate Myanmar's dependence on China. However, as protests in Myanmar intensified and over 275 people reportedly died due to the military's violent crackdown, the administration proceeded with sanctions.

Human rights activists inside and outside the U.S. are calling on governments worldwide to expand sanctions on Myanmar's key export sectors, such as oil and gas, to completely cut off the military's funding. This raises the possibility of further sanctions in the future.

This content was produced with the assistance of AI translation services.