{
  "id": 9378533,
  "title": "U.S. Energy Secretary: Blunt Tool of Banning Diesel Exports Doesn't Work",
  "url": "https://urgent.news/2026/09/23/u-s-energy-secretary-blunt-tool-of-banning-diesel-exports-doesnt-work",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-23T17:00:00.000Z",
  "source": {
    "name": "OilPrice",
    "slug": "oilprice",
    "url": "https://oilprice.com/Energy/Energy-General/US-Energy-Secretary-Blunt-Tool-of-Banning-Diesel-Exports-Doesnt-Work.html"
  },
  "original_language": "en",
  "account": "US Energy Secretary Chris Wrighthas voiced strong opposition to proposals for banning US diesel exports, insisting that the measure would prove ineffective and exacerbate inflationary pressures. Speaking at a New York event, Wrighthighlighted the potential for unintended consequences, warning that restricting exports would result in excess diesel inventories and force refiners to reduce refinery output. Lower production rates, he explained, would tighten supplies of other fuels, ultimately driving up costs for consumers and businesses. Wrighthis comments came in direct opposition to President Trump, who had previously expressed support for the idea as diesel prices soared to record highs in both the US and Europe. Treasury Secretary Bessent was subsequently tasked with evaluating the feasibility of a ban. President Trump's remarks had already led to a surge in European diesel prices, with Bloomberg reporting that the fuel's premium to Brent crude reached over $95 a barrel on Wednesday, a record high in the past five years. The US, now Europe's primary diesel supplier, had seen diesel exports surge to a weekly record of nearly 2 million barrels a day last month. However, a key US oil industry group cautioned against the ban, arguing that it could reduce American fuel production and harm the global economy. With the US supplying about 20% of the 8 million barrels of diesel traded globally each day, an export ban would remove the largest source of global diesel from the market, potentially causing catastrophic consequences. Removing US diesel from the market could lead to reduced refinery runs, global economic damage, and even higher US prices. While the White House may be able to temporarily lower US diesel prices by limiting exports, it risks creating a larger supply issue in the long run. Bloomberg Intelligence estimates that Gulf Coast storage could only handle about three weeks of net diesel exports before facing constraints. The global impact would be even more severe, with Latin America and Northwest Europe particularly vulnerable and competition for Indian barrels intensifying. China's potential re-export curbs would further exacerbate the situation. Refiners' responses would create a negative feedback loop, with trapped barrels crushing margins and incentivizing them to cut runs and undergo maintenance. S&P Global Energy estimates that crude runs might need to fall by nearly 2 million barrels a day, more than 10% of current production levels, to clear the surplus. The more aggressive the restriction, the greater the risk that today's price relief becomes tomorrow's supply problem.",
  "summary": "US Energy Secretary Chris Wright has publicly opposed calls for a ban on US diesel exports, arguing on Wednesday that the measure would backfire by increasing gasoline and jet fuel prices. \"The blunt tool of banning diesel exports definitely doesn't work,\" Wright said at an event in New York, as reported by Reuters. Wright said restricting exports would leave refiners with excess diesel…",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "Investing.com",
        "title": "US Energy Secretary Wright says diesel export ban would not work",
        "url": "https://urgent.news/2026/09/23/us-energy-secretary-wright-says-diesel-export-ban-would-not-work",
        "published": "2026-09-23T13:43:37.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}