The junta has increased its military presence and escalated military activities in the Arakan (Rakhine) State town of Kyaukphyu, where many Chinese development projects are located.
Since late January, the junta's Infantry Battalion 34 and Police Battalion 32 in Kyaukphyu Town have been conducting live-fire drills, tightening security at military bases, and reinforcing security checkpoints with additional personnel, according to sources monitoring the situation who spoke to DMG.
A source from Kyaukphyu Town said: “In recent days, the junta has clearly increased its manpower at the Nham Phae Taung, Ohntaw, Malakyun, and Kyauktalone checkpoints along the route leading to the town's entrance.”
Kyaukphyu Town lies at the mouth of the Thanzit River and the junta has also stationed seven warships offshore of the town and reinforced maritime security measures.
The Arakan Army (AA) controls all of Kyaukphyu Township except Kyaukphyu Town and a small area south of the town on the Kyaukphyu peninsula that encompasses the Danyawaddy Naval Base in Sane Village
Junta military columns have increased their presence and been setting up temporary camps in those areas around Kyaukphyu Town. These include the Danyawaddy Naval Base and the nearby villages of Thitpotetaung, Sittaw, Saing Chon, Shaut Chaung, Saing Chon Dwain, and Simaw. They are also more active in villages along the Yangon to Kyaukphyu Highway, including Mintattaung, Kamdee, Pyaing Sae Kay, and Nham Phae Taung.
In those areas the junta army has also increased the number of soldiers covertly guarding junta assets from concealed positions that keep them hidden from possible attackers.
On 9 February 2025, such guards killed a villager from Saing Chon near to Shaut Chaung Village and injured a further two when they opened fire on them from their covert position.
As a result of this increased junta activity residents of several villages in Kyaukphyu Township have been fleeing their homes.
A villager displaced from Pya Taein Village in Kyaukphyu Township said: “In the past few days, soldiers have set up a temporary camp in Pya Tae Village. Because of this, not only the villagers of Pya Tae but also residents from nearby Kat Thapyay and Shaut Shaung villages [also in Kyaukphyu Township] have fled in panic.”
Normally, once a month, a column of 50 junta soldiers patrol through Kyaukphyu Township. But since mid January the number of patrols in the township has increased to three times a month and the size of the patrolling column has risen to 100 men, according to Kyaukphyu Township residents.
The Arakan Army (AA) has also surrounded Kyaukhpyu Town and and there is rising tension between the AA and junta army in the area and there is a risk of fighting breaking out at any time.
A Kyaukphyu Town resident who is monitoring the situation said: “Kyaukphyu is a critical strategic town for the junta, with both ongoing and upcoming Chinese projects. For the AA, securing Kyaukphyu is essential to gain a strong position in potential economic discussions with China and to limit the junta’s naval capabilities in Arakan State. Both sides are amassing military strength, and fighting could break out at any time.”
The AA now controls nearly all of Arakan State. Only three towns: Sittwe, Kyaukphyu, and Manaung, remain under the junta’s control. In a bid to retain them, the junta has deployed large numbers of army and navy forces and implemented robust defensive measures in those towns.