The US and Myanmar's military-backed government held secret talks in Tokyo last week, people familiar with the matter said. This marks the second meeting in a month as Washington steps up re-engagement with the generals it shunned after their 2021 coup.

Focus on scam hubs and rare earths

Earlier talks in Myanmar's capital Naypyitaw in mid-September focused on securing the release of an American businessman and shutting down scam centers that target Americans. These discussions could pave the way for broader negotiations, including on Myanmar's rare-earth mineral deposits.

Diplomatic shift since 2021 coup

The outreach represents a sharp reversal from the isolation imposed on the regime following the 2021 coup. Japan is also tentatively re-engaging with the isolated government, signaling a broader regional diplomatic recalibration.

The United States is evaluating a potential easing of sanctions on shadow fleet vessels as a strategy to lower global freight rates. This development, reported by Reuters, signals a shift in regulatory approach aimed at addressing shipping cost pressures.

The move involves reviewing restrictions on vessels that operate outside traditional regulatory frameworks, often referred to as the shadow fleet. These ships frequently transport goods while avoiding standard compliance checks and insurance requirements.

Strategic rationale

Officials indicate that the primary objective is to increase effective shipping capacity by bringing more vessels into the regulated market. By reducing barriers for these specific assets, the administration hopes to alleviate supply constraints that have contributed to elevated freight costs in recent periods.

The consideration reflects a balancing act between geopolitical enforcement priorities and economic pressures within the logistics sector. No specific timeline or final decision has been announced, with the matter remaining under active review by US authorities.