U.S. Takes Action Against Myanmar/Burma in Response to Coup

In response to the military coup in Burma, the U.S. announced several actions to address the removal of a democratically elected leader. U.S. Trade Representative Katherine Tai suspended U.S. trade engagement with Burma and the suspension will remain in place until a democratically elected leader is seated. With the Generalized System of Preferences (GSP) program lapsed and under review for renewal, U.S.T.R. Tai stated that the situation in Myanmar threatens the country’s GSP status due to concerns over workers’ rights under the military regime.

Additionally, the U.S. Department of Treasury banned U.S. companies from conducting business with two Burmese companies; Myanmar Economic Holdings Company Limited and Myanmar Economic Corporation Limited. The companies are major suppliers of the military engaged in a broad array of industries including trade, manufacturing, banking and logistics. U.S. companies engaged in business with these two companies must report on all property in U.S., interest in properties in the U.S. or controlled by a U.S. interest and they are now blocked from future business. The restriction also applies to any companies in which the two companies have majority ownership.

For further information contact Bill Sells at bsells@sfia.org.