Green forest fire notification in Thailand

Supply-chain Risk Briefing

1. Summary

Forest fires in Thailand that persisted for approximately two weeks from March 29 to April 13 are classified as medium-grade and under monitoring. These fires, occurring at the end of the dry season, may impact agricultural and manufacturing regions within Thailand.

2. Supply-chain impact

• Agricultural production disruption: Concerns over reduced yields when fires occur near cultivation areas of major Thai export crops such as rice, sugarcane, and palm oil
• Rubber supply instability: Potential damage to rubber plantations in Thailand, the world's third-largest natural rubber producer, could impact global tire and rubber product supply chains
• Manufacturing operation delays: Fire smoke and air quality deterioration could reduce operational rates at manufacturing facilities for electronics, automotive parts, and other products
• Logistics network disruption: Road and transportation route blockages could cause delays in cargo transport between Bangkok port and inland areas
• Power supply instability: Concerns over industrial complex power supply disruptions due to transmission line damage or power plant operation suspension

3. Watch points

• Fire suppression completion timing and damage scale: Confirmation of complete suppression status after April 13 and actual damage scope to agricultural and industrial facilities
• Air quality improvement trends: Monitoring of manufacturers' normal operation resumption timing and logistics transportation normalization schedule