Economy

Executives say higher fuel costs may draw some interest to EVs, but any prolonged conflict would weigh more heavily on the economy and overall car sales.

Rising global oil prices linked to Middle East tensions are pushing up fuel and logistics costs across Thailand, prompting fare increases in aviation, pressure on public transport operators, and higher prices for food and everyday goods from late March into early April.

Executives say rising oil prices may support EV momentum in the near term, but weak purchasing power and credit curbs continue to restrain the market.

Higher freight rates, fuel costs and insurance premiums are disrupting Thai rice trade, with Iraq shipments stalled and buyers delaying orders.

Thailand’s planning agency says oil may remain elevated even if fighting eases, as damaged energy infrastructure in Arab states will take time to restore.

The Department of Foreign Trade reported February 2026 border and transit trade at 139.4bn baht, down 9.7% year on year, with border trade with four neighbours plunging 28.2% and Thailand-Cambodia border trade falling to zero.

Thai Airways is delaying non-essential spending, reviewing contingency measures and raising fares as the Middle East conflict drives up fuel costs and weakens bookings.

DIP is bringing “GI Market 2026” to Central Pinklao, featuring more than 70 stalls of GI products from across Thailand over seven full days, from March 23 to 29.

Commerce Ministry joins private firms in the "Thai Help Thai" project to ease living costs amid rising energy-driven prices.

TRIS Rating says Thailand’s 2026 GDP growth could slow from a 2.1% baseline to 1.8% if the Middle East conflict lasts three months, and to 1.0% if it drags on for six months, with higher inflation and fewer tourists.

Thailand’s energy regulator expects the next power tariff for May-August 2026 to edge up to Bt3.95 per unit, with a further rise above Bt4 possible if the Middle East conflict drags on.

Thai Airways will hold a board meeting this week to consider contingency measures as Middle East tensions push jet fuel prices sharply higher and weaken advance bookings.

Greenbus says diesel shortages in Chiang Mai, driven by Middle East supply disruption, are pushing up costs and could lead to fare rises, route cuts and fewer services.