The United States is pressing European allies, particularly France and Germany, to release emergency diesel reserves as President Donald Trump considers a potential ban on US diesel exports amid rising global fuel prices.
The Trump administration has asked Europe to release about 120 million barrels of diesel over six months, according to people familiar with the discussions cited by Reuters. Washington is considering restricting diesel exports as it seeks to ease pressure on US fuel prices ahead of the November midterm elections.
The proposed release represents more than 40% of the European Union’s emergency diesel and gasoil stocks. Germany and France hold significant portions of the bloc’s reserves, with about 5.6 million tonnes and 8.2 million tonnes respectively.
Trump indicated that his administration could ask European countries to release some of their reserves.
“We may do that. They have some diesel,” Trump said when asked about the possibility.
US Energy Secretary Chris Wright has also expressed confidence that European countries will release emergency diesel stocks, saying additional supplies would help ease market pressures ahead of the harvest and winter heating seasons.
The pressure comes as global diesel markets face tighter supplies following disruptions linked to the conflict involving Iran, reduced Russian exports and China’s suspension of fuel-product exports. US diesel supplies have also come under pressure as the country increases exports to compensate for shortages elsewhere.
European governments, however, are seeking assurances from Washington before agreeing to any coordinated release. EU officials and representatives from several member states, including France, Germany, Italy and Ireland, have held discussions over how to respond to the US request.
The UK has also joined discussions over the possible release of emergency diesel stocks as European governments assess the impact of a potential US export restriction.
A US export ban could increase domestic diesel availability and potentially put downward pressure on American fuel prices. However, analysts and market participants have warned that restricting US exports could tighten supplies in markets that depend on American refined petroleum products.
The United States is a major diesel supplier to international markets, while Europe has become increasingly reliant on imports as its refining capacity has declined and supplies from other regions have been disrupted.
The European Commission has not yet agreed to a further coordinated release of strategic diesel reserves. The bloc is already under pressure to balance short-term market relief with maintaining adequate emergency stocks for potential future supply disruptions.
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