Strict fuel rationing imposed by Myanmar’s military council has triggered severe shortages and soaring prices in Muse Township, Northern Shan State, crippling local businesses and disrupting cross-border trade.

Since March 24, private vehicle owners have been forced to obtain permits to buy fuel, with purchases capped at just four gallons per month which is far below what many need to sustain livelihoods.

Military-controlled stations now sell petrol at 5,200 Kyats per liter, but private sellers outside the city charge up to 7,000 Kyats, creating a 1,500-Kyat price gap and fueling a black market.

“The permit was issued on the 20th, but the weekly limit of one gallon is impossible for traders who rely on daily transport,” a local business owner told SHAN. With military stations operating only two days a week, many are left scrambling for alternatives.

While military-approved stations sell Chinese-imported fuel, shipments from Mandalay are blocked at Namkham, pushing prices outside Muse to 6,500–8,000 Kyats per liter. Desperate residents now cross into China to fill their tanks, only to resell fuel in bottles illegally.

The restrictions follow earlier moves by the military council, which since December 2024 has required businesses in Kyaukme to obtain permits for generator and vehicle fuel.

As Muse, a vital Myanmar-China trade hub grapples with the crisis, fears grow that the military’s chokehold on fuel will paralyze transportation and deepen economic turmoil in the region.