Our Insights

The oil supply shock is rippling through Southeast Asia. Countries dependent on imported energy are most at risk; the Philippines is taking the hardest hit. The archipelago historically sees some of the strongest "pass-through" effects.

As the closure of the Strait of Hormuz puts trade connections in focus, we've visualized how China's ties to Persian Gulf oil exporters have deepened.

Traditionally, Japan was Thailand's biggest foreign investor. Automakers such as Toyota and electronics companies like Panasonic were notable for having long-standing supply-chain linkages between their Thai and Japanese facilities.

China released upbeat economic figures that beat expectations, driven by an uptick in investment and domestic consumption. But this is not a simple story of broad-based recovery.

The implications of the Persian Gulf conflict extend to fertilizers: shortages are a potential threat to food affordability. This has become a key industry for Gulf countries seeking to make use of abundant gas reserves. (Nitrogen fertilizer requires large amounts of gas-derived hydrogen; the conflict is also depriving non-Gulf producers of seaborne gas supplies.)