India supplied 60% of diesel to Europe in August as Russian, US supplies plunge: Report

In August, India supplied approximately 60% of the diesel fuel passing through the Bab-el-Mandeb Strait towards Europe, according to a report. The strategic shipping route, crucial for Europe's fuel imports, saw around 2,00,000 barrels per day of diesel, nearly reaching pre-March levels after a significant decline in April. Indian refiners contributed around 60% of this volume, as reported by energy analytics firm Vortexa.

India, the world's fourth-largest refiner, possesses an installed capacity of 258.1 million tonnes per annum, exceeding domestic fuel demand, and exported 61.5 million tonnes of petroleum products in the fiscal year 2025-26, making it a significant global supplier, as per PTI.

However, the continuity of these flows might face challenges. India's crude and condensate imports dwindled to about 3.8 million barrels per day in August, down from 4.8 million barrels per day the previous year, representing a sharp drop. Russian diesel exports, averaging around 1,50,000 barrels per day in the initial 25 days of August, plummeted by 6,10,000 barrels per day year-on-year and 81% below the five-year seasonal average.

Any resumption of shipments following Russia's scheduled diesel export ban easing on September 1 might not be swift due to ongoing Ukrainian drone strikes disrupting refineries and export infrastructure. Vortexa identified 32 refinery attacks during July and August, with the Perm refinery, capable of processing 2,60,000 barrels per day, operating at merely 28% of its crude distillation capacity post an attack. Additionally, diesel cargoes have not been leaving Tuapse since a May strike.

In August, the US supplied around half of Europe's seaborne diesel imports from outside the region, equivalent to approximately 5,20,000 barrels per day. Nevertheless, shipments dwindled from nearly 5,40,000 barrels per day in the first half of August to about 3,50,000 barrels per day in the second half.