Economy
Thailand Increases Retail Fuel Prices Amid Global Market Volatility
The Oil Fuel Fund Office has announced a price hike for diesel and gasoline following a surge in global energy costs linked to US-Iran tensions.
According to a report by Prachachat Business on September 2, 2026, the Oil Fuel Fund Office (OFFO) has decided to increase retail fuel prices in Thailand. Effective immediately, diesel prices will rise by 0.75 baht per liter, while gasoline prices will increase by 0.60 baht per liter.
This decision follows significant volatility in the global energy market, specifically driven by rising tensions between the United States and Iran. Data from September 1 indicated that diesel prices in the Singapore market reached approximately $164 per barrel, with gasoline prices hitting $123 per barrel. The OFFO noted that these market conditions have placed an unsustainable financial burden on the Oil Fuel Fund, which was previously subsidizing costs at a rate of approximately 357 million baht per day.
For residents and travelers in Thailand, this adjustment will likely lead to higher transportation and logistics costs across the country. While the immediate price hike has been confirmed, the long-term stability of fuel prices remains uncertain, as it depends heavily on the ongoing geopolitical situation in the Middle East and its subsequent impact on global oil benchmarks. Further updates from the OFFO will be necessary to determine if additional adjustments are required in the coming weeks.