G7 to release 100 million barrels of oil and diesel after Trump export ban threat

The G7, comprising the US, UK, Canada, Japan, Germany, Italy, and France, along with the EU, has agreed to release 100 million barrels of oil and diesel to alleviate supply pressures causing prices to surge. This move aimed to address President Donald Trump's threat to ban diesel exports, which would have eased US prices ahead of November's midterms but driven prices up globally.

The G7 has now agreed to refrain from export restrictions on energy and energy products. Trump had warned he would ban diesel exports if European countries did not increase their stock availability. On Friday, he tweeted that Europe had agreed to release substantial amounts of diesel oil, which would begin immediately. French President Emmanuel Macron stated that the bloc would release reserves of up to 100 million barrels within four months, coordinated by the International Energy Agency (IEA).

The US, the world's leading diesel supplier, is providing roughly 4-5 million barrels daily, with exports accounting for 1.2 to 1.5 million barrels per day. Avoiding a ban on US diesel exports will significantly benefit countries reliant on imports, including the UK, where diesel prices hit £2 per litre for the first time.