Myanmar’s military junta has imported hundreds of thousands of barrels of jet fuel from Iran using 'sham paperwork' designed to circumvent US sanctions, according to a Reuters investigation and a report from the activist group Justice for Myanmar published on October 26.
The reports, based on shipping records, satellite imagery, and documents from Myanmar’s foreign exchange regulator and Ministry of Commerce, detail how shipments of aviation fuel were disguised as diesel to hide their origin and content. The mechanism had been suspected but not previously confirmed.
Reuters traced a single vessel, the US-sanctioned tanker Reef, which arrived in Myanmar waters in December 2024 carrying about 113,000 barrels of fuel. The shipment was ordered by Myanmar-based energy broker Dynamic Wave under a $15.8 million contract with Thailand’s Tawan-Oil Trading, which was to supposedly take delivery of South African diesel. Documentary evidence and satellite analysis from SynMax Intelligence verified the fuel actually came from the Iranian port of Bandar Abbas.
Days before the Reef arrived, Myanmar’s foreign exchange regulator instructed a client of Dynamic Wave to issue import documentation labeling the delivery as diesel instead of jet fuel, according to a November 30 letter seen by Reuters and provided by Justice for Myanmar.
Justice for Myanmar reported that leaked import records for six shipments between December 2024 and November 2025 included more than 843,000 barrels of aviation fuel valued at $109.5 million. The group identified a network of junta-linked businesses in Myanmar, Thailand, and the United Arab Emirates that declared the fuel as originating in or transiting through Singapore and South Africa. Reuters also reported that shipments have continued into 2026, with a tanker reaching Myanmar in September.
The fuel sustains the military’s air campaign against resistance groups and civilian populations. According to the UN Human Rights Office, civilian deaths from airstrikes rose by more than 50 percent in 2025, from 641 in 2024 to 982 last year. That figure included 232 children, more than were killed by airstrikes in the previous four years combined. Recent attacks include an airstrike on September 28 in Kyauktaw township that killed 50 people and wounded at least 58, and strikes on two displacement camps in Ponnagyun township earlier in October that killed at least eight.
In March 2023, the US Treasury imposed sanctions on entities linked to Myanmar’s jet-fuel industry, stating it “remains steadfast in its commitment to the people of Burma, and will continue to deny the military the materiel it uses to commit these atrocities.” Similar sanctions have been imposed by the UK, EU, Canada, and Australia.
Justice for Myanmar urged Thai, Singaporean, and Emirati authorities to investigate the junta’s trade fraud and called on the US and Western powers to sanction the entire aviation fuel supply chain network identified in its investigation.
Analysis
Why This Matters
- The continued flow of Iranian jet fuel sustains Myanmar's air campaign against civilian populations, despite broad international sanctions.
- The revelations expose gaps in enforcement of US and allied sanctions on both Iran and Myanmar, showing how falsified paperwork can bypass restrictions.
- UN data shows airstrike casualties are rising sharply, with hundreds of children killed in 2025 alone.
Background
Myanmar's military seized power in a February 2021 coup, sparking a nationwide resistance movement. As the junta has lost territory to various rebel groups, it has relied increasingly on air power. The US, UK, EU, Canada, and Australia have imposed sanctions on entities linked to the military's jet fuel supply. Iranian "shadow fleet" tankers have previously been reported to switch off location signals and transship fuel multiple times to conceal their activities.
Key Perspectives
Justice for Myanmar: Called on Thai, Singaporean, and Emirati authorities to investigate the junta’s trade fraud and urged the US and Western powers to sanction the entire aviation fuel supply chain network identified in its investigation.
US Treasury Department (March 2023): Stated that it “remains steadfast in its commitment to the people of Burma, and will continue to deny the military the materiel it uses to commit these atrocities.”
What to Watch
- Whether the US or allies impose new sanctions targeting the companies and individuals identified in the Justice for Myanmar report.
- Whether Thailand, Singapore, or the UAE launch investigations into companies in their territories accused of facilitating the shipments.
- Continued tracking of Iranian shadow fleet tanker movements to Myanmar, which Reuters reports have persisted into 2026.
Checked
12 claims in this story checked against 1 source: 10 supported.
Show each claim
- SupportedThe Myanmar junta labelled Iranian jet fuel as diesel, according to reports.The Diplomat: “Myanmar’s foreign exchange regulator told the client of Dynamic Wave that it would issue import documentation that labeled the delivery as diesel “instead of jet fuel,””
- SupportedLeaked documents reveal falsified import records used to evade US sanctions.The Diplomat: “In its report, JFM stated that leaked import documentation “reveals a network of junta-linked businesses in Myanmar, Thailand, and the United Arab Emirates (UAE), for fuel declared as originating in or transiting through Singapore and South Africa.””
- SupportedThe phrase “sham paperwork” describes paperwork used to circumvent US sanctions.The Diplomat: “Myanmar’s military authorities have imported Iranian jet fuel using “sham paperwork” designed to circumvent the U.S. sanctions on both nations”
- SupportedReuters and Justice for Myanmar published the reports on October 26.The Diplomat: “according to reports published by Reuters and a local activist group yesterday.”
- Partly supportedThe mechanism had been suspected but was not previously confirmed.The Diplomat: “It has been clear for some time that Myanmar’s military was receiving fuel shipments from Iran’s large tanker “shadow fleet” – both Reuters and the rights group Amnesty International have reported on the issue – but the exact mechanism by which the shipments were being concealed was previously unknown.”
- SupportedThe tanker Reef arrived in Myanmar waters in December 2024 carrying about 113,000 barrels of fuel.The Diplomat: “The Reuters report traced the journey of a particular vessel, the U.S.-sanctioned tanker Reef, which arrived in Myanmar waters in December of last year with some 113,000 barrels of fuel aboard.”
- SupportedDynamic Wave ordered the shipment under a $15.8 million contract with Tawan-Oil Trading for a delivery supposedly consisting of South African diesel.The Diplomat: “the shipment was ordered by Myanmar-based energy broker Dynamic Wave, which signed a $15.8 million sales contract with Thailand’s Tawan-Oil Trading “to supposedly take delivery of a similar amount of South African diesel.””
- SupportedDocumentary evidence and SynMax satellite analysis verified that the fuel came from Bandar Abbas, Iran.The Diplomat: “But the vessel really contained jet fuel from Iran, which Reuters verified both via documentary evidence and satellite images and analysis provided by SynMax Intelligence, “which tracked the tanker’s journey from the Iranian port of Bandar Abbas to Southeast Asia.””
- Partly supportedDays before the Reef arrived, the foreign exchange regulator instructed a Dynamic Wave client to issue import documents labelling the delivery as diesel.The Diplomat: “Myanmar’s foreign exchange regulator told the client of Dynamic Wave that it would issue import documentation that labeled the delivery as diesel “instead of jet fuel,””
- SupportedJFM identified six shipments from December 2024 to November 2025 containing more than 843,000 barrels of aviation fuel valued at $109.5 million.The Diplomat: “Between December 2024 and November 2025, JFM said that it identified records from the Myanmar Commerce Ministry for six shipments of jet fuel that included more than 843,000 barrels of aviation fuel, valued at $109.5 million.”
- SupportedCivilian deaths from airstrikes rose by more than 50 percent in 2025, from 641 in 2024 to 982 in 2025.The Diplomat: “According to the U.N. Human Rights Office, civilian deaths from airstrikes rose by more than 50 percent in 2025. The figure increased from 641 in 2024 to 982 last year.”
- SupportedThe US Treasury said it “remains steadfast in its commitment to the people of Burma, and will continue to deny the military the materiel it uses to commit these atrocities.”The Diplomat: “In a statement at the time, Treasury said that the U.S. government “remains steadfast in its commitment to the people of Burma, and will continue to deny the military the materiel it uses to commit these atrocities.””