The fuel shortage crisis in Laos is intensifying after the Middle East war disrupted crude oil transportation, causing Laotians to wait in long lines for hours to refuel.
On 16 Mar 2026, residents of Vientiane, the capital of Laos, lined up at numerous gas stations due to the worsening fuel shortage crisis, which is a ripple effect from the conflict in the Middle East impacting this Southeast Asian nation.
According to Singaporean media Channel News Asia (CNA), Laos relies on fuel imports from neighboring Thailand. Initially, Thailand announced a suspension of exports to reserve fuel for domestic use. However, Thailand has recently assured the Laotian government that fuel shipments are currently underway.
Latest data from the Laotian government shows that over the past week, more than 40% of the country's 2,538 gas stations have been forced to close.
AFP reported that over 15 gas stations in Vientiane were closed on Monday, displaying signs indicating they had run out of fuel. Those still open have imposed strict limits on the amount of fuel dispensed due to very limited supplies.
A 29-year-old Laotian teacher living in Vientiane said that all three gas stations within a 5-kilometer radius of his home have completely run out of fuel. “Sometimes we have the money, but there is no fuel to buy. Usually, as teachers, we have side jobs beyond our main school work, which makes us more reliant on fuel than before,” he explained.
Only a few gas stations remain open, surrounded by long, chaotic queues of motorcycles and cars. In some places, residents have to wait up to two hours just to fill their tanks.
“The last time I found a station to refuel my motorcycle was on Friday, and now I’m almost out of fuel,” a motorcycle taxi driver told AFP, requesting anonymity. “If I can’t find an open station near my home, I’ll have to stop working for a few days.”
Since the U.S. and Israel launched attacks on Iran on 28 Feb, Tehran has retaliated by targeting neighboring oil-exporting countries and striking ships passing through the Strait of Hormuz, a vital global crude oil shipping route, plunging the world energy market into crisis.
Energy prices set by the Laotian government have risen rapidly, with diesel prices soaring nearly 50% to 31,560 kip per liter (about 47.49 baht).
Data from Global Petrol Prices indicates that, early in the conflict, Laos had the world's second-highest increase rate in premium gasoline prices.
Laos imports almost all its fuel from Thailand. Thailand’s export suspension announcement in late February triggered panic buying, causing fuel at stations across Vientiane to be depleted within hours.
Although Thailand later allowed special fuel exports to Laos and sent an emergency shipment of 12 million liters to ease pressure, once the fuel arrives, people rush to buy it all immediately.
The Laotian government is enforcing measures to prevent hoarding, banning fuel storage in containers like water bottles, instructing ministries to limit in-person meetings, and actively encouraging citizens to switch to electric vehicles.
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Source:cna