The US threatens to restrict diesel exports: the EU decides whether to use its reserves
Kyiv • UNN
The US has called on the EU to release more than 40% of its diesel reserves over six months. France and Germany have the largest stockpiles in the bloc.
The European Union is trying to forge a common position on the possible release of emergency diesel fuel stocks after the United States called on European countries to increase fuel supplies on the global market. Bloomberg and Reuters report this, as cited by UNN.
Some European countries are already discussing the possibility of using their reserves.
Details
According to Bloomberg, the EU's Oil Supply Coordination Group has begun collecting the positions of member states following reports that U.S. authorities are directly approaching individual European countries about releasing diesel stocks. The European Commission is specifically trying to determine which countries have already received corresponding requests from Washington in order to formulate a coordinated EU position.
Reuters, for its part, reports that on October 1, representatives of the European Commission, France, Italy, Ireland, and the United Kingdom held consultations on the possible need to release diesel fuel stocks.
At the same time, the administration of U.S. President Donald Trump urged France and Germany to use part of their emergency diesel reserves to increase supplies on the global market and reduce fuel prices. In the event of a refusal, Washington is considering restricting U.S. diesel exports.
What official Washington is proposing to Brussels
The United States is proposing that the European Union release about 120 million barrels of diesel fuel over six months. This represents more than 40% of the EU's emergency diesel and gasoil stocks.
Context
At the end of September, the European Commission said that supplies of oil and petroleum products in the EU remained stable for the time being, but diesel and jet fuel prices remained high due to a shortage on the global market. European refineries are operating at nearly full capacity, while emergency reserves remain available in case of supply disruptions. The situation is also affected by Europe's dependence on imports of U.S. diesel following the abandonment of Russian petroleum products, as well as supply disruptions from the Middle East.
It should be noted that the largest reserves among EU countries are held by France and Germany. According to Reuters estimates, together they control about 35% of the bloc's relevant stocks.
Reminder
U.S. President Donald Trump once again blamed Ukraine for rising diesel fuel prices in the United States. He is convinced that diesel prices in the United States are rising because of Ukraine's strikes on Russian refineries, rather than because of the blockade of the Strait of Hormuz.