Myanmar Shuts Down Major Border Crossing With Thailand Leading To Drastic Trade Disruptions: New Update

Published on August 19, 2025

A abrupt and unexpected move by Myanmar authorities has thrown waste and acquisition betwixt Thailand and Myanmar into disarray. On August 18, 2025, nan Second Thai-Myanmar Friendship Bridge, a important nexus for large-scale cross-border trade, was abruptly closed, halting nan travel of commercialized equipment and impacting waste and acquisition weighted astatine astir 130 cardinal baht (S$5.1 million). The closure has near businesses, peculiarly those on nan Thai-Myanmar border, grappling pinch nan fallout.

This drastic action, which caught Thai authorities by surprise, was reportedly portion of Myanmar’s effort to regain power complete nan financial benefits traditionally enjoyed by taste equipped groups operating on nan border. The closure of this captious way for exports has intensified nan already volatile waste and acquisition dynamics betwixt nan 2 countries.

Myanmar’s Strategy to Reassert Control

The closure of nan Second Friendship Bridge comes arsenic Myanmar seeks to asseverate greater authority complete separator waste and acquisition profits, which person agelong benefited various taste equipped factions, including nan Border Guard Force (BGF), 1 of nan ascendant subject groups successful nan area. Myanmar’s cardinal authorities appears wished to prehend these revenues, redirecting them into nan nationalist treasury.

While nan First Friendship Bridge remains unfastened for pedestrian postulation and smaller section trade, it does not connection nan capacity required to facilitate large-scale commercialized shipments. As nan main way for cardinal exports specified arsenic mobile phones, motorcycles, and thenar oil, nan bridge’s closure poses a superior consequence to businesses successful some Thailand and Myanmar.

A Severe Blow to Thai Exporters

The closure has already caused a crisp driblet successful Thai exports to Myanmar, pinch customs information revealing a melodramatic diminution successful waste and acquisition volume. Previously, nan Second Friendship Bridge handled waste and acquisition worthy astir 50 cardinal baht per quarter, but since nan closure, exports person plummeted to conscionable complete 10 cardinal baht. This crisp simplification highlights nan value of nan span successful facilitating cross-border trade.

In nan 2025 fiscal twelvemonth (October 1, 2024, to July 31, 2025), full waste and acquisition betwixt nan 2 countries reached 138.6 cardinal baht, representing a 78.94 percent summation compared to nan erstwhile year. However, this maturation was mostly driven by a surge successful imports, peculiarly antimony ore, pinch imports rising by 142.34 percent. Thai exports, connected nan different hand, fell by 21.34 percent during nan aforesaid period, exacerbating nan region’s waste and acquisition imbalance.

Challenges pinch Unofficial Trade Routes

Another facet complicating nan business is nan important domiciled of unofficial waste and acquisition channels successful nan region. Mae Sot Customs reports that 68.71 percent of imports and 61.85 percent of exports are conducted done unapproved routes. With nan closure of nan Second Friendship Bridge, these informal waste and acquisition pathways are expected to look accrued pressure, creating further instability successful nan already vulnerable separator economy.

Urgent Calls for Government Action

In consequence to nan mounting crisis, section business owners and exporters person urged nan Thai authorities to prosecute successful urgent negotiations pinch Myanmar to find a resolution. With nan economical fallout mounting, some countries look increasing unit to reconstruct waste and acquisition and stabilize nan situation.

Thailand has besides introduced stricter regulations successful an effort to power nan travel of equipment crossed nan border. Starting connected August 20, nan Governor of Tak state mandated that each exporters supply a two-day beforehand announcement for shipments crossing into Myanmar. These equipment will beryllium taxable to further inspections by military, administrative, and customs officials. Many business owners fearfulness that this will consequence successful further delays and imaginable harm to their goods, compounding nan difficulties they are already facing.

Uncertainty Looms for nan Future of Border Trade

The closure of nan Second Thai-Myanmar Friendship Bridge has formed a protector of uncertainty complete nan early of cross-border trade. With some charismatic and unofficial waste and acquisition routes facing important disruptions, businesses connected some sides of nan separator are near successful limbo. As nan business unfolds, it is clear that some governments will request to enactment swiftly to find a viable solution.

The result of this situation will person far-reaching consequences not only for nan businesses straight impacted but besides for nan broader economical stableness of nan region. The Thai-Myanmar separator has agelong been a cardinal waste and acquisition corridor, and nan closure of this captious span has created a analyzable business that will require punctual and coordinated action to resolve.