GRAPHICS

Growing Significance of a Myanmar Border City

Jun 13, 2012 | 16:43 GMT

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(Stratfor)

Energy and Transport Infrastructure in Northeastern Myanmar

The city of Muse is located in northeastern Myanmar's Shan state and sits directly across the border from Ruili in China's Yunnan province. Several recent developments between Myanmar and China have given Muse newfound relevance. Created in 2006, the 105th Mile Trade Zone has made Muse Myanmar's most important hub for border trade; roughly 70 percent of border trade with China passes through the city. The Myanmar National Highway links Mandalay, Myanmar's second-largest city, and central Myanmar to Muse, where goods and people can easily pass into China. In addition, a 170-kilometer (106-mile) railway connecting Lashio, Myanmar, to Muse is under construction. Most important, the construction of a 3,000-kilometer oil and natural gas pipeline linking Yunnan province to the Bay of Bengal via Muse is under way. This pipeline stands to provide a crucial energy alternative for China, which is trying to end its reliance on energy shipments through the Strait of Malacca. Due to Muse's rising significance, Beijing and Naypyidaw have every reason to secure the town against periodic attacks by militant groups along the border.