Shan State is traditionally divided into three sub-states: North Shan State; East Shan State; and South Shan State. It is also officially divided into 11 districts: Taunggyi; Loilem; Kyaukme; Muse; Laukkaing (Laogai); Kunlong; Lashio; Kengtung; Mong Hsat; Mong Hpayak and Tachileik.

An additional district; Hopang District; was formed as 12th District of Shan State by combining of Mongmao; Pangwaun (Panwai); Namphan (Ngaphan) and Pangsang (Pangkham) Townships from Lashio District; Matman Township from Kengtung District; Hopang Township; and Panlong and Namtit Sub-Townships from Kunlong District in September 2011.