The cost of petrol surged sharply in Vietnam on Friday, rising by more than 20 per cent after the government announced an overnight increase amid fears of oil and gas shortages linked to the ongoing Middle East conflict.

The Vietnamese government announced just before midnight on Thursday that the price of 95-octane gasoline would rise by 20 per cent to 30,690 Vietnamese dong ($1.20) per litre.

The development underscores the growing global impact of the crisis, as several Southeast Asian nations grapple with rising energy costs.

Diesel prices recorded an even steeper increase of nearly 34 per cent, climbing to 33,420 dong per litre.

The latest hike means petrol and diesel prices have increased by more than 50 per cent and 70 per cent respectively since the conflict began in late February.

In a statement, Vietnam’s trade ministry attributed the increase to the ongoing conflict in the Middle East, Iran’s control of the Strait of Hormuz, and the lingering effects of the Russia-Ukraine war.

The government also disclosed that the Prime Minister had initiated diplomatic efforts, holding talks with countries including Qatar, Kuwait, Algeria, and Japan to secure fuel supplies.

Authorities have warned that the situation could worsen, with the aviation sector already raising concerns.

The country’s aviation authority indicated that domestic flights may be reduced due to potential fuel shortages.

However, officials expressed cautious optimism, stating that Vietnam has sufficient oil and gas reserves to meet domestic demand until the end of April.

Residents are already feeling the strain of the rising costs, with many adjusting their daily routines.

According to AFP, a Hanoi resident, Minh Anh, said the spike in fuel prices had reduced traffic in the usually busy capital.

“The traffic seems to ease as I think many cannot afford this continuous hike in the fuel cost like myself.

“Ordinary people like myself are the end sufferers of this fuel crisis,” she added.

The impact of rising fuel prices is also being felt in neighbouring countries.

In Myanmar, petrol prices jumped by about 30 per cent between Thursday and Friday, prompting long queues at filling stations as motorists rushed to buy fuel.

Similarly, Thailand recorded an increase in diesel prices earlier in the week after the government announced higher rates.