THE big negative news in the Asean region is the effect on relations between China and Myanmar of what Agence France Press has described as the “bloody conflict in a remote corner of northern Myanmar [that] has spilled violently across the border with China, risking a rift with the mighty neighbor and threatening peace efforts with an array of rebels.”

Until now Myanmar and Burma have been the closest of friends. Myanmar has for decades been a dependency of China. It receives an inordinately large amount of aid from Communist Party-ruled China (which however does not rival what China spends on North Korea). In addition China pours billions of US dollars in investments into Myanmar.

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