Surprisingly, perhaps, China’s flagship Belt and Road Initiative expresses a familiar mix of the security–development nexus and liberal interdependence thesis: Chinese leaders expect economic development and integration will stabilise and secure neighbouring states and improve inter-state relations. However, drawing on the record of China’s intensive economic interaction with Myanmar, we argue that the opposite outcome may occur, for two reasons. First, capitalist development is inherently conflict-prone. Second, moreover, China’s cross-border economic relations today are shaped by state transformation–the fragmentation, decentralisation and internationalisation of party-state apparatuses. Accordingly, economic relations often emerge not fr...