Release diesel stocks or face ban: US to France & Germany

Washington | Brussels | Paris: The Trump administration has told Germany and France to draw down emergency diesel inventories to help to ease global fuel prices or face a potential US diesel export ban, said three people close to the discussions.

The warning marks an escalation of pressure on Europe as US President Donald Trump considers a potential diesel export ban to bring down US fuel prices ahead of November's midterm elections. "It is in Europe's best interest to work with the United States as we pursue multiple pathways to boost the supply of refined products and lower costs for consumers," one of the sources, a US official, said. .

A second source, based in a European capital, said that the US has asked the EU to release 120 million barrels of diesel in the next six months.


The US administration has been particularly frustrated with France and Germany, which US officials believe have not fully followed through on earlier commitments to release emergency oil and petroleum stocks.

European diesel refinery profit margins were trading at around $78.22 per barrel at 4:15 PM, down about 6% from the previous session. The margin hit an all-time high of $95 per barrel on September 23.