Global Diesel Supply Falls 1.6 Million Bpd, Driving Prices Above $6 in the U.S.
Updated
Updated · Daily Sabah · Sep 17
Global Diesel Supply Falls 1.6 Million Bpd, Driving Prices Above $6 in the U.S.
3 articles · Updated · Daily Sabah · Sep 17
Summary
Combined diesel and gasoil exports from the Gulf and Russia were 1.6 million barrels per day lower in August than in February, tightening a market that supplied about 45% of global seaborne petroleum product trade.
Ukrainian strikes on Russian refineries and export infrastructure, plus severe Strait of Hormuz disruption, cut both refining output and direct product shipments; the IEA said roughly 5 million bpd of petroleum products normally transit the strait.
Prices have surged across import-dependent markets: U.S. diesel rose from about $3.75 a gallon before late February to above $6 on Sept. 11, while Germany and France climbed from roughly 1.80 euros a liter to about 2.40 euros.
Refiners are benefiting from the squeeze, with EIA data showing U.S. distillate and jet fuel margins more than doubled year over year in the second quarter, and the IEA citing diesel cracks as a driver of record Atlantic Basin margins in August.
The pressure is spreading beyond major economies, with Türkiye's diesel rising from about TL60-TL62 per liter in late February to around TL100 in September as tighter global supply feeds through imports and exchange rates.