Trump’s 75,000-Barrel Russian Diesel Deal Falls Short as Middle East Supply Drops 809,000 Barrels
Updated
Updated · The New York Times · Oct 14
Trump’s 75,000-Barrel Russian Diesel Deal Falls Short as Middle East Supply Drops 809,000 Barrels
3 articles · Updated · The New York Times · Oct 14
Summary
U.S. diesel prices remain near record highs because the October Russian shipment Trump announced amounts to roughly 75,000 barrels a day—too small to materially ease the market, analysts said.
Russia exported about 140,000 barrels of diesel a day from July through September, down from 693,000 a year earlier, raising doubts it can deliver even the volumes promised under the deal.
The bigger constraint is the Middle East: Saudi Arabia and other regional exporters shipped 809,000 fewer barrels a day in July-September than a year earlier after the U.S.-Israel attacks on Iran disrupted flows through the Strait of Hormuz.
That combined shortfall from the Middle East and Russia has pushed diesel prices up about 77% this year, limiting the deal’s ability to cut U.S. fuel costs anytime soon.