Green forest fire notification in Thailand

Supply-chain Risk Briefing

1. Summary

Forest fires occurred in Thailand from March 31 to April 14, lasting approximately 2 weeks, and were classified as medium-level risk. These fires, occurring during the dry season, have the potential to impact agricultural and manufacturing supply chains in Thailand's inland regions.

2. Supply-chain impact

• Agricultural production disruption — Concerns over reduced yields and quality degradation if production areas for Thailand's major exports including rice, sugarcane, and cassava are within the fire-affected zones
• Rubber supply risk — If rubber plantations in Thailand, the world's largest natural rubber producer, suffer damage, global tire and rubber product supply chains could be impacted
• Manufacturing operations disruption — Air quality deterioration and transportation network blockages due to fires could temporarily impact production and logistics of electronic components and automotive parts in Thailand, a Southeast Asian manufacturing hub
• Import/export logistics delays — Potential delays in cargo transportation to major ports such as Bangkok Port if inland fires affect major road and rail networks

3. Watch points

• Fire suppression completion status — Confirmation of complete extinguishing after April 14 and inspection of measures to prevent recurrence
• Agricultural damage assessment — Monitor official government announcements on agricultural damage scale within the next 2-3 weeks and whether export volume forecasts are adjusted