The Bolivian Workers’ Central (COB), the country’s main labor union, confirmed on Sunday that it will maintain the national strike called for Monday against Decree 5503, which eliminates the fuel subsidy that has been in place for more than two decades.
The decision comes despite partial agreements reached by the government with other social sectors to avert the protests.
“We will not back down; we will not negotiate without the consent of our people,” stated Mario Argollo, executive secretary of the COB, in a recorded message alongside other union leaders.
The leader rejected claims of an alleged “unilateral and secret” pact with the government and reaffirmed that marches and blockades would begin early Monday morning.
Argollo described the decree as an “arbitrary” measure that, in his view, benefits “a privileged, business, and bourgeois sector.” In this context, I have called on various social sectors to join the protest and asserted that the mobilization is not political but a demonstration of demands.
The strike was initially called on Friday by the Bolivian Confederation of Drivers’ Unions as a “general and indefinite” strike to demand the annulment of Decree 5503. The COB (Bolivian Workers’ Central) and coca-growing farmers aligned with former president Evo Morales joined the action, heightening social tensions over the weekend.
However, the Rodrigo Paz government defused some of the pressure on Sunday after signing agreements with freight carriers from Cochabamba, who agreed to set up working groups on tax and customs issues and ruled out joining the strike.
Economy Minister Gabriel Espinoza, one of the negotiators, maintained that overcoming the economic crisis “requires work” and that “no one will get out of this situation by blocking roads,” according to statements released by the Executive branch. The day before, Public Works Minister Mauricio Zamora had reached a similar agreement with heavy cargo transporters in Santa Cruz.
In La Paz, President Paz also met with gold miners and neighborhood associations, who decided not to join the strike. On Sunday evening, the president announced a national address on the state television channel Bolivia TV to explain the scope of the decree and reiterate that the measure “will not be changed.”
Decree 5503, issued on Wednesday, sets new fuel prices: 6.96 bolivianos per liter for regular gasoline, 11 bolivianos for premium gasoline, and 9.80 bolivianos for diesel. This represents an 86% increase in gas prices and a 162% increase in diesel prices compared with subsidized prices that had been in effect for more than 20 years.
According to the government and economic analysts, the subsidy program has become unsustainable amid a fiscal crisis and foreign currency shortages. The government estimates that maintaining the subsidy would require approximately $3.5 billion in 2026, equivalent to 6.4% of the gross domestic product (GDP).
As a countermeasure to rising fuel prices, the package of measures includes raising the minimum wage from 2,750 to 3,300 bolivianos, higher bonuses for public school students, and increased income for senior citizens without social security contributions.
The ratification of the strike by the Bolivian Workers’ Central leaves the government facing a scenario of high social conflict at the start of the week, with questions about how severely the blockades will affect supply and economic activity, and whether the Executive will manage to isolate the protest or be forced to reopen a negotiation that, for now, it considers closed.
