Thai PM cracks down on ‘evil’ fuel smugglers to protect supply

[BANGKOK] Thai Prime Minister Anutin Charnvirakul is cracking down on fuel smugglers whom he called “evil” as authorities tighten enforcement to protect domestic supply.

The move follows reports of illicit fuel shipments from Thailand into Cambodia, which has been largely cut off from Thai supplies. Anutin, whose election win in February was bolstered by a hardline stance toward Cambodia after deadly border clashes, ordered a sweeping probe into fuel hoarding, price manipulation and illegal exports.

Officials have identified irregular practises across the supply chain, including delayed maritime deliveries to profit from rising prices, refusals by depots to supply fuel to retailers and the diversion of shipments for stockpiling.

“All these actions amount to excessive profiteering during a global energy crisis,” Anutin said on Friday (Apr 3) at a briefing. “They have contributed to fuel shortages across the country.”

Asked whether smuggling fuel into Cambodia constituted a serious offence, Anutin said on Thursday at a separate event that “it’s evil,” and nodded when asked if such actions amounted to treason.

The tightening measures come as rising fuel prices and supply disruptions increase incentives for illicit trade. Some Thai fuel stations have reported temporary shortages as traders divert supply to higher-priced markets. The government has sought to reassure consumers, saying the country has sufficient energy reserves to cover about 106 days of demand without new imports.

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Thailand has banned most fuel exports, making limited exceptions only for Myanmar and Laos, and has kept its border with Cambodia largely closed amid ongoing tensions. The navy has enforced a ban on oil shipments to Cambodia since March 6, while stepping up inspections and interdictions of suspicious maritime transport.

Authorities have also expanded surveillance of shipping activity. The Thai Maritime Enforcement Command Center said it identified 96 abnormal voyages, including unusual traffic patterns and slow sailing speeds that may indicate hoarding. Of those, 20 voyages involving more than 50 million litres of oil, were flagged as potentially linked to stockpiling.

Some vessels were found lingering near border areas or within Thai waters for extended periods, raising concerns over possible ship-to-ship transfers, officials said. BLOOMBERG