The Bolivian Government ended the diesel subsidy on 18 September 2026, replacing the previous arrangement under Decree 5716 with a pricing mechanism linked to international market conditions.

As diesel is a major cost component for inland transport in Bolivia, the measure would substantially affect trucking and distribution costs nationwide.

Against that backdrop, the Confederación Sindical de Choferes agreed on 22 September to stage a 24-hour national withdrawal of urban, interprovincial, interdepartmental and international transport services. The union opposed the decree and sought its repeal.

The stoppage took place on 28 September; however, participation was uneven. Santa Cruz and Chuquisaca maintained the action, while federations in La Paz, El Alto, Cochabamba and other sectors did not join.

The uneven participation shaped the local impact. Santa Cruz was left with almost no bus services, whereas La Paz and Cochabamba remained largely operational.

Bolivian authorities said the main effects were concentrated in Santa Cruz and Sucre, with public transport close to normal across much of the country.

Union leaders were due to present their demand for repeal to ministers on 29 September. The Government kept dialogue open and proposed vehicle renewal, conversion to compressed natural gas and financing instead of restoring the former subsidy scheme.

Bolivia imports about 90% of its diesel. President Paz said the revised approach reflected the cost of purchasing fuel abroad, while identifying smuggling and black-market resale as causes of the weekly deficit.

Future adjustments are expected to follow changes in international fuel prices and the government’s methodology. In the meantime, shippers are advised to take these developments into consideration.

For more information, please contact your local Kuehne+Nagel representative.