BANGKOK (AP) — An ethnic armed group in northeastern Myanmar has seized a major crossing point for trade along the Chinese border, residents and media reports said.

The border gate in Laukkaing township, the capital of the Kokang Self-Administered Zone in the northern part of Shan state, became the fifth crossing seized by the group since it launched a coordinated offensive on Oct. 27 with two other ethnic armed groups.

The Myanmar National Democratic Alliance Army, which took control of the crossing, joined with the Ta’ang National Liberation Army and the Arakan Army for the offensive that began in October and call themselves the Three Brotherhood Alliance.

Laukkaing is known for hosting major organized criminal enterprises including cyberscam operations controlled by Chinese investors in cooperation with local Myanmar warlords.

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The Chinese government in recent weeks has initiated a crackdown on these operations, and thousands of people involved have been repatriated to China. Many of those who were employed were tricked into working there and then held against their will.

The MNDAA is a military group of the Kokang minority that is trying to oust a rival Kokang group, backed by the military government, from power in the town.

A Laukkaing resident told The Associated Press late Tuesday that the Yan Lon Kyaing border gate was seized on Monday after members of the army-affiliated militia guarding the gate laid down their weapons. He spoke on condition of anonymity for fear of reprisals from the army and the ethnic armed group.

Another Laukkaing resident who also asked not to be identified for fear of being arrested said he saw MNDAA troops near the trading gate on Monday.

Shwe Phee Myay News Agency, a Shan-based online media group, reported Tuesday that a resident saw MNDAA’s flags flying at the gate. There were similar reports in other Myanmar media.

The Associated Press reached out to MNDAA representatives seeking confirmation of the reports but received no response.

The alliance’s attacks since October have posed a challenge Myanmar’s military government, which has struggled to contain a nationwide uprising by members of the Peoples’ Defense Force, a pro-democracy armed group established after the army seized power from the elected government of Aung San Suu Kyi in February 2021.

The alliance has claimed several victories, including the seizure of more than 200 military posts and four border crossing points controlling crucial trade with China. It says it has killed hundreds of Myanmar army soldiers.

The fighting has blocked cross-border trade and raised concerns in Beijing. It also threatens further political destabilization in Myanmar, a strategic ally to China that is embroiled in civil war in many parts of the country.

China called for a cease-fire after the fighting escalated near its border. It also brokered peace talks between the military and the alliance, and announced on Dec. 14 that the two sides had reached an agreement on a cease-fire.

However, fighting has continued in at least five townships in the northern part of Shan. The Ta’ang National Liberation Army has claimed it captured two of the townships.

The Kokang, an MNDAA-backed online media group, reported on its Facebook page that fighting in the Kokang region resumed on Tuesday after the military carried out aerial attacks against MNDAA outposts.

Laukkaing residents also told the AP that fighting between the army and MNDAA broke out in the town while military aircraft dropped bombs on parts of the town on Tuesday.