Southeast Asia's latest scam center crackdown, explained

China, Thailand, and Myanmar have recently intensified their joint efforts to dismantle cyber scam operations along the Thai-Myanmar border, with a particular focus on rescuing foreign workers who have been coerced into participating in fraudulent schemes. This crackdown, while not the first of its kind, comes at a critical moment and has significant implications for the three nations involved.

Why is the crackdown happening now?
Cyber scam operations—large-scale online fraud centers specializing in investment scams, romance scams, and other illicit activities—have plagued Southeast Asia for years. These criminal enterprises initially emerged from casinos in the Golden Triangle, a region straddling the borders of Thailand, Myanmar, and Laos, known for its history of illegal activities.

The situation worsened during the COVID-19 pandemic when many physical casinos were forced to shut down. As a result, operators shifted their focus to online fraud, developing increasingly sophisticated and highly profitable scams. Analysts estimate that the cyber scam industry is now worth billions of dollars.

In 2022, authorities cracked down on cyber scam centers in Cambodia’s Sihanoukville, a port city notorious for organized crime. However, this action only led to the relocation of these illicit operations to Myanmar’s border regions, particularly areas near China. A major rebel offensive in late 2023 eventually forced another wave of relocation, driving these scam centers deeper into Myanmar’s lawless territories.

Myanmar, which has been embroiled in a civil war since a military coup in 2021, has become a safe haven for these criminal networks. Operating with little interference from authorities, these scam centers lure workers—often young men—with promises of lucrative job opportunities. Once inside, victims are forced to conduct fraudulent activities targeting individuals worldwide. Those who refuse or fail to meet their quotas often face brutal punishments, including physical abuse.

The United Nations estimates that up to 120,000 people, many of them Chinese nationals, may currently be trapped inside Myanmar’s scam compounds.

Public outrage over these operations intensified in January 2025 when reports surfaced that Wang Xing, a relatively unknown Chinese actor, had allegedly been trafficked into one such compound near the Thai-Myanmar border. The case sparked widespread discussion on Chinese social media, with many netizens warning against traveling to Thailand, which they perceived as "dangerous."

In response to mounting pressure, Thai Prime Minister Paetongtarn Shinawatra traveled to Beijing in early February to discuss solutions. One of the immediate measures taken by Thailand was cutting off cross-border electricity supplies to five regions in Myanmar suspected of harboring scam centers.

The crackdown gained further momentum when China’s public security minister visited the border town of Mae Sot—a key transit point between Thailand and Myanmar—two weeks later. This visit resulted in the repatriation of approximately 600 Chinese nationals believed to have been working in scam compounds, with Thailand facilitating their return.

Will this crackdown be effective?
Despite the recent high-profile efforts, experts remain skeptical about whether this crackdown will lead to lasting change. While Myanmar’s border militias are now overseeing thousands of newly released individuals, history suggests that such efforts have only temporary success.

Past crackdowns on cyber scam operations have largely resulted in relocation rather than elimination. Jason Greening, a security analyst, predicts that many scam centers will simply move to new locations, allowing their operations to continue largely undisturbed. He also warns that while a few low-level criminals may be arrested to create the appearance of enforcement, the true masterminds behind these operations are unlikely to be caught.

To further disrupt the scam networks, Thailand has intensified its efforts by cutting off internet access, electricity, and fuel supplies to areas in Myanmar believed to house cyber fraud centers. While this move may cause immediate disruptions, Sam Tower, a researcher specializing in Southeast Asian crime networks, argues that these criminal groups are highly adaptable. He believes that even with increased enforcement, scam centers will likely find alternative sources of power and internet connectivity, allowing them to resume operations elsewhere.

Broader Implications
The crackdown underscores the complex geopolitical and security challenges facing China, Thailand, and Myanmar. While China is eager to protect its citizens from falling victim to these scams, Thailand must navigate delicate diplomatic relations with both China and Myanmar. Meanwhile, Myanmar’s weak governance and ongoing internal conflict continue to provide a safe haven for organized crime.

For the crackdown to be truly effective, all three countries will need to maintain sustained cooperation, strengthen enforcement efforts, and target the financial networks that sustain these criminal enterprises. Without long-term commitment, experts warn that cyber scam operations will continue to evolve, shifting to new locations and methods to evade authorities.