US Pressures France, Germany to Release Emergency Diesel Stocks or Face Export Ban
The Trump administration has told Germany and France to draw down emergency diesel inventories to help ease global fuel prices or face a potential US diesel export ban, according to three people close to the discussions.
The warning was delivered as diesel prices surged to record levels, becoming a political headache ahead of midterm elections. US officials have raised the issue with the International Energy Agency to urge the release of emergency stocks.
Diesel hit a record $6.53 per gallon in the US last week, more than 70% above pre-war prices, while in the UK it crossed £2 a litre for the first time. About a quarter of UK diesel imports came from the US in the past three months.
France, Italy, Spain and Germany hold more than 200 days’ worth of diesel stock in reserve, accounting for more than a third of the EU’s strategic diesel reserves.
The White House is evaluating options ranging from a 90-day blanket export ban to voluntary export limits by refiners and allowing broader sales of tax-exempt diesel. President Trump has said he supports restricting exports, though Energy Secretary Chris Wright warned an outright ban could push up domestic gasoline and jet fuel prices.
French President Macron has urged Trump to drop the planned ban and instead coordinate a G7 release of strategic reserves.
No final decision has been taken, but a White House official said Trump is “evaluating all the options on the table” to lower domestic fuel prices. #US Pressures France, Germany to Release Emergency Diesel Stocks or Face Export Ban# Trump: Falling Nation of Iran Wants Deal Quickly and Badly
