Rakhine State's Kyaukpyu Township and China's Jilin City have entered into an agreement to establish a special Friendship City Relationship. Kyaukpyu Township, located in Rakhine State, is home to significant business investment projects by China and Jilin City in China serves as the capital of the industrialized Jilin Province.  

The Friendship City Relationship between Kyaukpyu Township in Rakhine State, Myanmar, and Jilin City in China aims to enhance bilateral cooperation and foster friendship between the two countries. The agreement, written in both Chinese and Myanmar languages, adheres to the principles of China-Myanmar diplomatic relations, seeks to promote mutual understanding and people- to- people friendship, and claims that both sides intend to establish a strong Friendship City bond.

Furthermore, the written agreement states that  "on the basis of mutual equality and mutual benefit, we hope that the people of the two countries will jointly promote friendship, trade and commerce, science and technology, culture sports, education, human resources, and other fields and actively cooperate together,"

The signing ceremony was attended by a delegation led by Mr. Hu Bin, the Mayor of Jilin City and the Secretary of Jilin City Committee of the Communist Party of China. A delegation led by U Nyeinn Chan Maung, Chairman of Kyaukpyu District Native Ethnic Development Association (KDNEDA) was present during the ceremony.

The agreement was signed at the China-Myanmar Economic Cooperation and Development Promotion Association conference hall in Yangon.

During the meeting, Mr. Hu Bin, the mayor of Jilin, highlighted that Kyaukpyu Township's strategic location as the hub of the One Belt, One Road, China's New Silk Road, presents numerous opportunities for development activities.

Mr. Hu Bin, the Mayor of Jilin, expressed, "Jilin City has made significant strides in developing seven major industries, encompassing iron smelting, chemical manufacturing, construction, modern appliance manufacturing, agriculture, tourism, and industry. Once the Friendship City Relationship is established with Kyaukpyu Township, we envision fruitful collaborations in these industries for mutual benefit and growth."

KDNEDA chairman U Nyeinn Chan Maung expressed that Kyaukpyu Township and Jilin City have become eternal friends, and they are committed to working together more firmly and meaningfully.

"To facilitate the return of the Rakhine people to their homes, the establishment of a special economic zone in the Kyaukpyu region, which possesses numerous geographical advantages, will transform China, India, and the Middle East countries into prominent economic focal points as major world markets. By becoming an economic focal point for these nations, it is estimated that the Kyaukpyu region's strong development could contribute up to 80% of Myanmar's entire GDP."

The signed agreement will be valid for 5 years from the date of signing the agreement. If neither party cancels the contract at the end of the 5th year, there will be a right to extend the term.

In December 2015, a consortium of companies led by China International Trust Investment Corporation (CITIC) won the tender to construct the Kyaukpyu Deep Sea Port and Special Economic Zone. The Deep Sea Port will consist of a 2,500-meter long and 600-meter wide port on Maday Island, and a 1,500-meter long and 600-meter wide port on Ramree Island.

The Kyaukpyu Deep Sea Port is designed to accommodate large cargo ships such as Mother Vessels, Carriers, and Supertankers with lengths exceeding 1000 feet. Its strategic location will facilitate the export of oil and natural gas produced from Kyaukpyu Shwe Natural Gas and Rakhine Coast Oil Blocks to Kunming, China.

Local residents express their concerns that despite China's economic investment ,this development may not bring sufficient employment opportunities for the local population, and there are worries about potential disruptions to existing livelihoods, particularly in the fishing industry.

Local fishermen also reveal their concerns about the potential destruction of natural ecosystems along the Thanzit River in Kyaukpyu due to the construction of the deep sea port. They fear that this could lead to the loss of their livelihoods as the fishing areas they rely on for fishing might be adversely affected.