Illinois Fertilizer & Chemical Association
Supply · Service · Stewardship

U.S. Diesel Crisis Lingers as Europe Prepares for Russian Oil Ban

President Biden has another fuel crisis at hand: diesel. Tapping the Strategic Petroleum Reserve (SPR) won't help much due to the lack of refining capacity.  Global diesel and distillate fuel stocks have fallen to dangerous levels and the U.S. has been exporting a lot of diesel to Europe and Latin America, but now things are changing. U.S. buyers are snapping up diesel cargos originally planned for Europe as the crisis deepens.
 
Europe is currently buying a lot of Russian diesel to fill the gap, but this will have to stop next February as the embargo on Russian fuels kicks in. Argus reported that Europe is in for a major diesel supply shock because of low inventories and strong demand.
 
Click Here to read more.