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March 9, 2026 •• 11 minutes ago •• Read for 3 minutes •• Join the conversation

Singapore — Immediately after the military seized power, 55 Myanmar foreign investors, from Coca-Cola to Facebook, signed a statement promised to the country and its employees during the development of “deep concerns”.

A month later, these promises were terrible in Myanmar’s economy, except that they were paralyzed by large-scale anti-coup protests, widespread strikes, and the killing of dozens of protesters seeking boycotts and sanctions by military junta. It is being tried.

The sudden shift from Australia’s Woodside Petroleum, one of the signatories to the statement, illustrates the challenge. On February 27, he said he would withdraw his offshore exploration team just a week after saying that drilling would be unaffected, reducing his domestic presence amid concerns about violence.

This week, fashion giant H & M, which has about 45 direct suppliers in Myanmar and is also the signer of the statement, said it had suspended new orders from the country due to transportation and manufacturing disruptions.

However, H & M has not made an immediate decision about the long-term future in Myanmar.

H & M’s Myanmar Country Manager, Selkan Tanka, said:

A large global company has already undergone a dramatic withdrawal. Kirin Holdings has terminated its beer tie-up with military companies after pressure from a group of activists.

The intensification of violence, which killed more than 50 protesters, only adds to the uncertainty faced by companies concerned about reputational risk.

Murray Hiebert, Senior Associate of the Center for Strategic and International Studies Southeast Asia Program, said:

Dangerous business

Business in Myanmar has long been a struggle between high risk and potential high compensation for foreign companies.

After half a century of military junta, the opening of one of the last frontier markets in Asia in 2011 led to a surge in foreign direct investment. According to the World Bank, net inflows peaked at $ 4.7 billion in 2017, compared to $ 900 million in 2010.

But even before the coup, businesses were working on collapsing infrastructure, constant power turmoil, legal uncertainty, and an economy largely dominated by the military.

All foreign companies will make an assessment and assess the next move, but energy companies (some of Myanmar’s longest-established foreign investors) may be particularly under further pressure.

UN Myanmar Human Rights Investigator Tom Andrews said in a report last week that the country should be sanctioned by the Myanmar Oil and Gas Company (MOGE), which is currently controlled by the military and is the largest source of income.

Total has been in Myanmar since 1992 and Chevron has partnered with MOGE to undertake a major offshore gas project. A Chevron spokesperson said he would comply with all applicable laws and sanctions. Comments on the sanctions threat were declined.

Telecommunications and Internet companies are also in a difficult position as they deal with intermittent service shutdowns and new amendments to cyber laws that threaten human rights.

Norway’s Telenor, which holds a mobile license in Myanmar, said on Monday that the amendments would increase military powers and reduce civil liberties, calling for the restoration of a sound legal framework in Myanmar.

Facebook on February 2 banned Myanmar troops from using the Facebook and Instagram platforms.

How companies should respond to Myanmar’s challenges is hotly debated.

Myanmar expert Chris Sidoti, who participated in a UN-led fact-finding mission in 2019, said all foreign companies should suspend operations in Myanmar as the military has taken over all aspects of the government. I am.

Rights group Burma Campaign UK urges Western brands to work diligently with whom they work, but not to abandon Myanmar workers. In Myanmar, nearly 500,000 people are employed at factories that manufacture textiles for retailers such as H & M, Adidas, Gap and Zara.

John Bray, director of business consultancy Control Risks, said pressure on Myanmar companies needs to be guided by an “accomplice” rating.

“If they are paying to provide services to the people of Myanmar to drive economic development, I don’t think you’re part of what’s happening on the street,” Bray said. ..

(Report by John Geddy and Joe Brock, edited by Edwina Gibbs)

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From Promised Land to Pariah State: Myanmar Coup Rattles Foreign Companies