America’s diesel warning triggers emergency preparations in Europe

The prospect of a US diesel export ban has emerged as a new source of pressure in global fuel markets. US President Donald Trump said his administration is seriously considering restricting overseas shipments to bring down domestic prices, and could also ask European countries to release part of their diesel reserves.

US Treasury Secretary Scott Bessent also argued that Europe should speed up its existing commitments and bring additional supply online without delay. Washington says rising prices should not be left to weigh on American farmers, truckers and businesses.

The US is one of the key suppliers in global diesel trade. The country is said to export between 1.2 million and 1.5 million barrels of diesel a day, meaning any export restriction could push prices even higher in other markets.

Britain and the EU seek coordination

On Thursday, Britain held talks with European partners in response to a possible US move. In contacts between UK Energy Secretary Martin McCluskey and his European counterparts, officials discussed what a joint response could look like.

A source close to the talks said some reserves in Europe remain after a coordinated release of strategic fuel stocks earlier this year, but that preparing for further action is still seen as necessary. The British government said the supply structure is diverse and resilient, and that it remains in contact with international partners and the country's fuel sector.

What is driving global price pressure?

Global gasoline and diesel prices rose sharply after the US-Israel war in Iran began in February. The closure of the Strait of Hormuz, through which about one-fifth of the world's oil and natural gas transport passes, has increased the cost of petroleum products.

  • Russia's export ban has added further pressure on diesel supply.
  • Because diesel is harder to refine than gasoline, rapidly boosting supply remains limited.
  • Heavy use in transport and agriculture also makes demand difficult to curb in the short term.

A spokesperson for the European Commission said talks are continuing both within Europe and with the US administration because of conditions in the diesel market. Market analysts warn that any cut in American supply could trigger very sharp increases in international prices.

Record prices and import dependence in Britain

What are pump prices doing?

According to RAC data, the average price of diesel in Britain rose to a record 199.79 pence per liter this week. That marks a clear increase from the previous level of 142.38 pence.

Britain's dependence on diesel imports makes the country more vulnerable to external shocks. While the country's four refineries can produce enough gasoline to meet demand, diesel output is not sufficient to cover domestic needs.

According to Department for Transport data, there were 15.1 million diesel vehicles on UK roads at the end of June, down from 15.7 million a year earlier. The number of diesel cars also fell year on year, from 10.4 million to 9.8 million.