One of the ethne speaking in a language belonging to the Mon-Khmer group is represented by Palaung (Deang). Their number exceeds 600 thousand people. Greater part of them is living in the northern regions of Myanmar (Burma) and only about 20 thousand on the territory of Yunnan Province, PRC. They belong to s.c. Mountain Khmer, because they are close to this ethnic group by the main ethnographical characteristics and by language as well. Among the ancestors of Palaung the people of Pu must be point out. This people had the contacts with ancient Chinese states of Yin and Zhou in the Bronze Age, then they were conquered by Shu (one of the Three Kingdoms) and from the middle of 1st Millennium AD they began to establish their own states (princedoms) in the region to the West of Iravadi River. Gradual migration of Palaung (and their ancestors Pu) from the territory of modern provinces of Sichuan and Guizhou to the South (first to Yunnan and then to Northern Myanmar) corresponded with general movement of Austro-Asiatic peoples from the basin of Middle and Lower Yangzi River to South-East Asia.