Russia extends diesel export ban

Russia has extended its ban on diesel, marine fuel, and gasoil exports until October 31. This extension aims to stabilize the domestic fuel market, particularly during the harvest season, as Ukrainian attacks on Russian refineries are causing significant production difficulties. The ban, in place since the summer, has been a contributing factor to the global middle distillate market crisis.

Russia's diesel exports previously accounted for approximately 10% of global seaborne diesel supply. The absence of Russian diesel has further strained refinery operations in the Middle East and the Strait of Hormuz due to recent Iranian attacks on Gulf refineries. As a result, retail diesel prices in the United States have reached record highs, with the average price reaching $6.41 per gallon as of September 30.