Khunpang Lhawang Dorje was one of the nine sons of the king of Upper Tsang, Karma Tseten, who founded the dynasty in 1565.
His father Karma Tseten endorsed his judgment and banned the junior brother Tashi Tobgyal from Tsang, forcing him in exile to Ü (East Central Tibet).
Khunpang Lhawang Dorje resided in the Samdrubtse castle (in present Shigatse), the main base of the dynasty, and took care of government affairs from there.
However, in the historical sources he is entirely overshadowed by his younger brother Karma Tensung who appears to have been the main ruler over Tsang.
Khunpang Lhawang Dorje was taken ill in 1604 and Taranatha was asked to perform a geg ritual to drive away demons from the old and ailing ruler, who suffered from failing memory.