BANGKOK — The government has confirmed there are adequate supplies of oil for local consumption but warned that local prices will still rise in line with global prices, even with the use of subsidies to offset the increase.

Thailand’s Current Oil Reserves Will Last 61 Days, Energy Ministry Confirms

Speaking after a meeting on the Middle East situation at the Ministry of Foreign Affairs on Tuesday, Prime Minister Anutin Charnvirakul provided a detailed assessment of Thailand’s energy security amid escalating regional conflict.

Current Production and Consumption

Mr. Anutin stated that Thailand currently refines 170 million litres of oil daily, while local consumption stands at 130 million litres per day, creating a comfortable surplus for domestic needs. For now, the government has suspended all oil exports except those to Laos, which takes approximately 7 million litres daily. Laos was exempted because Thailand is partially dependent on electricity imports from its neighbor.

Reserves Confirmation

“I confirm that there is no crisis at present. We have adequate oil reserves. The report quoting reserves for 60 days was based on the assumption of no crude oil imports. We import oil not only from the Middle East, but also from other sources,” Mr. Anutin said.

The caretaker prime minister acknowledged that the Middle East conflict would inevitably affect oil prices but promised that his government would make every effort to maintain retail prices of oil, gas, and other essential products.

Strait of Hormuz Closure

Veerapat Kiatfuengfoo, deputy permanent secretary for energy, revealed that Iran announced it was closing the strategic Strait of Hormuz on Tuesday morning, a critical chokepoint for global oil shipments. In response, Thai traders have been instructed to secure oil from alternative sources such as America, West Africa, and Malaysia to ensure adequate reserves.

PM Anutin Charnvirakul has taken an urgent action to ease the impact of rising oil prices on the public’s cost of living. He announced that the Ministry of Energy and relevant agencies had decided to cap diesel prices at 29.94 baht per liter for 15 days, effective immediately. pic.twitter.com/ybGySbwby1

— PR Thai Government (@prdthailand) March 3, 2026

Price Mitigation Measures

The Ministry of Energy will utilize the Oil Fuel Fund to subsidize any rise in oil prices. However, Mr. Veerapat cautioned that local pump prices would still increase in line with global oil market movements.

“People should not be panicked into building up a store of oil products. Storage of a large amount of oil is illegal and also dangerous if it is not done properly. The Ministry of Energy is confident that Thailand has adequate oil reserves in-country,” he emphasized.

Alternative Supply Sources

Caretaker Energy Minister Auttapol Rerkpiboon announced that the government plans to purchase crude oil from West Africa and the United States, with deliveries expected by the end of April. This diversification strategy aims to offset the impact from the closure of the Strait of Hormuz, a key shipping lane for global oil and liquefied natural gas transport.

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The government continues to monitor the situation closely and adjust its energy strategy as circumstances evolve, prioritizing stable supply and affordable prices for Thai consumers amid global volatility.

-Thailand News (TN)