Trump’s Russian diesel deal is a warning to Asia
By breaking ranks to cut a private fuel deal with Moscow, Washington just handed Asia an urgent lesson: Build your own energy reserves, or get priced out of the scramble.
The United States recently struck a private fuel deal with Russia, raising warning flags for Asia. After G7 leaders released 100 million barrels of crude and diesel through the International Energy Agency, Russia responded by supplying over 300,000 metric tons of diesel - with a further 4.5 million tonnes scheduled for later phases.
This move, authorized via General License 135, came shortly after a call between US President Donald Trump and Russian President Vladimir Putin. Critics in Ukraine called it a weak decision by strong allies, but Asia should view it as a stark lesson. The region is highly exposed to energy shocks, given its dependence on oil, fertilizer and helium transported through the Strait of Hormuz.
Iran's conflict has already reduced global oil output by 11 million barrels per day, and diesel supplies have become increasingly scarce. When the IEA executive director visited Canberra, he warned that Asia was at the forefront of the crisis. As diesel powers essential industries from Karachi to Manila, the region faces a critical choice: rely on collective frameworks or secure its own reserves.
Written by urgent.news from The Jakarta Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.