US Lifts Sanctions on Myanmar Junta Allies Following General's Praise of Trump

TEMPO.CO, Jakarta - The United States revoked sanctions against several ruling generals, allies of Myanmar, on Thursday, as reported by Arab News, two weeks after the military junta leader praised President Donald Trump and called for the easing of sanctions in a letter responding to a tariff warning.

On July 11, Myanmar's military general, Min Aung Hlaing, requested a 40 percent tariff reduction on his country's exports to the U.S. in a letter to Trump. He said he was willing to send a negotiation team to Washington if necessary.

"The senior general acknowledged the president’s strong leadership in guiding his country toward national prosperity with the spirit of a true patriot," the government media reported at that time.

In response to Trump's letter informing Myanmar about the tariffs that would take effect on August 1, Min Aung Hlaing proposed a tariff reduction of 10 to 20 percent. Myanmar pledged to cut its import duties from the U.S. to a range of zero to 10 percent.

Min Aung Hlaing also asked Trump "to reconsider easing and lifting the economic sanctions imposed on Myanmar, as they hinder the shared interests and prosperity of both countries and their peoples."

A notification from the U.S. Department of the Treasury stated that KT Services & Logistics and its founder, Jonathan Myo Kyaw Thaung; MCM Group and its owner, Aung Hlaing Oo; Suntac Technologies and its owner, Sit Taing Aung; and another individual, Tin Latt Min, have been removed from the U.S. sanctions list.

In January 2022, the Biden administration added KT Services & Logistics and its CEO, Jonathan Myo Kyaw Thaung, to the sanctions list. As reported by NDTV, the CEO was described as a "crony" of the junta when they were sanctioned for leasing the Yangon port from a military company for US$3 million per year.

This move is in line with the first anniversary of the military's seizure of power in Myanmar, which has plunged the country into chaos.

Meanwhile, Myanmar's chemistry and engineering company and its owner, Aung Hlaing Oo, and the owner of Suntac Technologies, Sit Taing Aung, were sanctioned at the end of that year for producing weapons, including tanks and mortars.

Tin Latt Min, identified as another close associate of the military rulers, was included in the list in 2024 to commemorate the three-year coup.

The U.S. Department of the Treasury did not explain why it made this move, and the White House did not immediately respond to requests for comment.

Trump sent a letter to junta leader Min Aung Hlaing earlier this month, one of a series of letters sent to foreign leaders during his global trade war.

The letter, believed to be Washington's first public recognition of the junta since the coup, threatened Myanmar with a 40 percent levy unless a trade deal was reached.

Human Rights Watch called the move "very worrying" and stated that it indicated a major shift in U.S. policy towards the Myanmar military. The Myanmar junta overthrew the democratically elected government in 2021 and has been involved in crimes against humanity and genocide.

John Sifton, Asia advocacy director at Human Rights Watch, called the U.S. move "startling" and its motivation unclear.

"The action suggests a major shift is underway in US policy, which had centered on punitive action against Myanmar’s military regime, which only four years ago carried out a coup d’etat against a democratically elected government and is implicated in crimes against humanity and genocide," he said in a statement by email.

"The decision will cause deep concern among victims of the Myanmar military and everyone who has been fighting and advocating for a return to democratic rule in Myanmar," Sifton said.

Myanmar is one of the world's major sources of rare earth metal minerals, which are highly sought after for use in high-tech defense and consumer applications. In its strategic competition with China, which is responsible for 90 percent of rare earth processing capacity, securing the supply of these minerals was a top priority for the Trump administration.

Most of Myanmar's rare earth metal mines are in areas controlled by the Kachin Independence Army (KIA), an ethnic group opposed to the junta, and processed in China.

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