The Thai government is contemplating imposing a nightly curfew on petrol stations, potentially requiring them to close between 10 p.m. and 5 a.m., as part of efforts to manage growing concerns over fluctuating oil supplies and rising fuel prices. Prime Minister Anutin Charnvirakul indicated that the measure would be implemented cautiously to minimize disruptions, especially for those whose occupations demand late-night refuelling.

Energy sector executives suggest that the proposed curfew could serve as a psychological prompt for consumers to conserve fuel amid ongoing volatility. Suvatchai Piattakongsaporn, president and CEO of Atlas Energy Plc, noted that while the restriction would likely reduce sales for petrol retailers, motorists are expected to adjust by refuelling earlier in the evening. He also highlighted a surge in demand for liquefied petroleum gas (LPG) vehicle conversions in March, which doubled compared to the period before the US-Iran conflict erupted, reflecting a shift toward alternative fuels seen as more economical. Conversion to LPG costs roughly 20,000 to 25,000 baht, considerably less than purchasing a new electric vehicle, which remains an option primarily for higher-income consumers due to costs and depreciating resale values.

Analysts warn that the ongoing conflict in the Middle East has intensified energy instability, with damaged infrastructure likely to keep oil prices elevated for the next two to three years. This prolonged period of higher fuel costs poses risks of economic stagnation combined with inflation, commonly referred to as stagflation.

The banking sector is adjusting to these challenges as well. Bangkok Bank Public Company Limited (BBL) expects Brent crude prices to remain around $80 per barrel in the near term, higher than levels observed before the conflict. The bank has outlined a three-phase approach to aid clients, focusing first on ensuring business continuity and liquidity, followed by cost control measures, and finally, long-term strategies to improve efficiency and competitiveness. Despite rising non-performing loans, BBL considers the credit situation manageable and projects stable net interest margins for the year, assuming the Bank of Thailand maintains its policy rate at 1 percent.

Economic observers have noted the broader ramifications of geopolitical tensions, with some signaling that global markets are transitioning from a focus on military conflict to concerns about financial system stability. Rising inflationary pressures linked to high energy costs may constrain central banks worldwide from easing monetary policies, adding complexity to economic recovery prospects.

Sectoral impacts are being felt across industries, including tourism and manufacturing. The Thai Hotels Association’s Eastern Chapter president reported cautious consumer spending and reduced business travel following the recent Songkran holiday, as cost pressures and government work-from-home policies dampen demand. Hotels have responded by keeping room rates steady while cutting operational expenses and adopting sustainable practices to manage costs.

Meanwhile, the Ministry of Commerce forecast continued price increases on various consumer goods, driven by higher energy and raw material expenses. Items such as cooking ingredients, personal care products, and detergents are expected to rise by up to 5 percent, while some goods like instant coffee and vegetable oils could see increases exceeding 10 percent.

Overall, Thailand faces a challenging economic environment shaped by international conflicts, energy market disruptions, and inflationary pressures. Policymakers and businesses are actively adjusting strategies to mitigate risks while seeking opportunities in emerging sectors such as renewable energy, semiconductors, and electric vehicle manufacturing to sustain growth in the longer term.