The effective closure of the Strait of Hormuz, a critical maritime chokepoint through which approximately 20% of the world’s oil supply passes, has sent shockwaves across global economies since late February. This development followed the outbreak of war between the US and Israel against Iran, dramatically escalating tensions in the Middle East. The closure has caused oil prices to soar and stock markets to fluctuate wildly as governments and industries anxiously await news of when the strait might reopen. The situation has been exacerbated by repeated attacks on energy infrastructure in the region, pushing prices even higher and fueling uncertainty worldwide.
While the strait’s closure affects countries globally, Asia has arguably felt the impact most acutely. Nearly 90% of the oil and gas passing through the Strait of Hormuz is destined for Asian countries, making the region particularly vulnerable to supply disruptions. Already, governments across Asia have started implementing measures to cope with energy shortages and escalating prices. These include ordering employees to work from home, reducing the working week, declaring national holidays, and closing universities early in efforts to conserve dwindling fuel supplies. Even China, which is believed to have fuel reserves sufficient to cover approximately three months of imports, has begun adjusting policies to mitigate the crisis, including imposing limits on fuel price hikes despite a 20% increase in prices affecting consumers.
The ripple effects of the conflict thousands of miles away are being felt in everyday life across Asia, with people sharing their experiences of hardship and uncertainty. In the Philippines, the government declared a national emergency in response to the conflict and the looming threat it poses to the country’s energy supply. The impact has been deeply felt by ordinary citizens, particularly among jeepney drivers—an essential part of the nation’s public transport system. Carlos Bragal Jr., a jeepney driver, has seen his daily earnings plummet from between 1,000 and 1,200 pesos ($16.60 to $19.92) for a 12-hour shift to just 200 to 500 pesos. This drastic reduction is a result of soaring fuel prices coupled with existing challenges such as excise taxes and a suspended fare hike.
Carlos, like many others, is worried for his family’s future. He has relied on his earnings to send his daughters to school, with one having recently graduated and the other about to graduate. Now, he fears the ongoing crisis will destroy their financial stability. The impact extends beyond jeepney drivers: fishermen and farmers are also suffering from high fuel costs. For instance, several vegetable farmers in Bulacan province have already halted planting because the cost of fuel makes it unfeasible to continue. The government has attempted to ease the burden by offering cash assistance, but many like Carlos feel the support is inadequate. “The fuel subsidy from the government isn’t enough,” he says. “It’s for a two-day drive. So what happens after two days? Our situation now is worse than during the pandemic.”
In Thailand, the energy crisis has led to symbolic as well as practical responses. Sirima Songklin, a news presenter at public broadcaster Thai PBS, and her colleagues removed their blazers on air to encourage viewers to save energy by dressing appropriately for the heat. “Taking off the suit isn’t the whole solution for energy conservation, but what we did is to show that we’re not ignoring what’s happening,” Sirima told BBC Thai. The government has issued a range of directives such as setting air conditioning temperatures to 26-27°C and instructing government agencies to adopt work-from-home policies. Despite these measures, authorities have reassured the public that Thailand will have sufficient energy supplies moving forward.
In Sri Lanka, the situation carries a bitter irony. The country recently emerged from a severe financial crisis in 2022, during which it ran out of foreign reserves and struggled to import essential goods, including fuel. Now, although Sri Lanka has money to buy fuel, the global shortage means there is little fuel available to purchase. To conserve supplies, the government has implemented measures such as declaring Wednesdays public holidays and introducing fuel rationing. However, these actions have created long queues at petrol stations, causing further disruptions. Nimal, a lawnmower operator in Colombo, explained the challenge: “I didn’t go to work today. We are fulfilling our daily needs with great difficulty. Because of [the queues], I don’t even have time to attend to work. By the time I get back after getting fuel, someone else may be there as a