Thailand cuts diesel prices but remains mid-range in Asean

Diesel cut offers some relief

Thailand’s major fuel retailers have cut diesel prices by THB1.20 per litre, offering some relief to motorists as the country continues to grapple with energy price pressures linked to the Middle East crisis.

OR and Bangchak said the reduction, effective on April 21, applies to diesel products including B7 and B20, while petrol and gasohol prices remain unchanged.

Thai prices still sit in the middle of Asean

Even after the latest adjustment, the bigger question for Thai consumers remains whether fuel in Thailand is expensive by regional standards.

Data compiled by the Energy Policy and Planning Office shows Thailand remains broadly mid-range in Asean for both petrol and diesel prices, rather than among the most expensive markets in the region.

For petrol, Thailand’s reference price stood at THB42.45 per litre as of April 20, below Singapore, Myanmar, Laos, Cambodia and the Philippines, but above Malaysia, Vietnam, Indonesia and Brunei.

For diesel, Thailand was at THB42.90 per litre, lower than Singapore, Myanmar, the Philippines, Laos, Malaysia, Cambodia and Indonesia, but still above Vietnam and Brunei.

Why Thailand is not the cheapest

The comparison is shaped by policy as much as by crude oil prices. EPPO data indicates that retail prices across Asean vary because each country uses different tax structures, oil fund mechanisms and subsidy systems. In Thailand’s case, gasohol prices are supported through the Oil Fuel Fund, which helps keep gasohol cheaper than straight petrol.