Vietnam Just Ate Thailand’s Lunch — And Oil Paid the Bill
Bangkok’s tuk‑tuks feel quieter these days. Not because of low season—because the oil crisis has quietly redrawn Southeast Asia’s tourism map.
Thailand, long the king of budget long‑haul, is suddenly too expensive for the European backpacker and the mid‑market Indian family. Jet‑fuel surcharges have pushed package prices up 18–22% since January , and with the rupee hovering near ₹95-96 against the dollar , that Phuket villa no longer feels like a steal.
Enter Vietnam: smart, agile, and hungry.
April 2026 was historic : Vietnam welcomed over 2.03 million international arrivals in a single month—a first for any Vietnamese April. That’s +14.6% year‑on‑year , while Thailand’s April tally is running around 2.3–2.4 million (down from 2025 peak months). Where are those extra travellers coming from? Mainly Europe. German, French, and UK tour operators have quietly shifted contracted capacities from Phuket and Krabi to Da Nang and Phu Quoc Vietnam’s edge:
Lower oil‑driven transport costs,
Visa exemptions for 22+ countries
Aggressive seat‑subsidy deals via its national carriers and partner airlines.
B2B takeaway
For India‑based consolidators, Europe‑origin group business is now cheaper to route via Hanoi or Da Nang than via Bangkok . Reroute your preferred‑airline and land‑partner contracts now—or watch your margins bleed.
B2B industry analysis
European tour operators are reallocating 15–20% of contracted capacity from Thailand to Vietnam , seeking lower net rates on flights and hotels. Indian B2B consolidators must renegotiate air‑land packages immediately or risk losing Europe‑origin group volume to Vietnam‑focused partners.
