Business · Energy & Commodities · 11 hrs ago
Russia to extend diesel export ban while allowing limited shipments
Russia plans to extend its diesel export ban through the end of the year.
Selected companies will still be allowed to ship fuel abroad under a quota system.
The exemptions are intended to help meet a recent diesel supply deal with the United States, agreed after a phone call between Presidents Vladimir Putin and Donald Trump.
Russia has kept tight controls on fuel exports after shortages earlier this year.
Its refineries are recovering, and diesel production exceeds domestic use by about 40%, so producers need export outlets to avoid a domestic glut.
The quotas are set to rise to 2 million metric tons in November, four times October's level.
A government order expected in early November is due to name more exempt refiners and set new limits; officials could raise quotas further if they are used up quickly.
Russia will extend its diesel export ban until the end of the year while allowing some companies to export fuel under a quota system.
The quotas will rise to 2 million metric tons in November, according to two people familiar with the discussions.
The exemptions are intended to help meet a new diesel supply commitment to the United States.
The government is maintaining tight controls on oil product exports after fuel shortages earlier this year.
- Who
- The Russian government and companies granted export quotas.
- What
- Russia will extend its diesel export ban through the end of the year but allow some exports under quotas.
- When
- The current ban is due to expire on October 31; the extension will last until the end of the year.
- Where
- Russia.
- Why
- To meet a diesel supply commitment to the United States while maintaining controls after fuel shortages earlier this year.
This story does not have two clearly opposing sides.
Presidents Vladimir Putin and Donald Trump spoke by phone, after which Moscow and Washington agreed on a diesel supply deal.
Deputy Prime Minister Alexander Novak said a fourth tanker carrying Russian diesel would sail.
Sources said Russia would extend the diesel export ban until the end of the year and raise quotas in November.
A new government order is expected to expand the list of refiners exempt from the ban and set new export limits.
- Ban extension
- Until the end of 2026
- November export quotas
- 2 million metric tons, or about 0.5 million barrels per day
- October export quotas
- 0.5 million tons
- Existing ban expiry
- October 31
- Export commitment
- Diesel supply deal with the United States
4 sources
Russia to export 510,000 tons of diesel in October, 2.15 mln tons in November — Novak
Rusland verlengt verbod op dieselexport, maar staat uitzonderingen toe
Russia to extend diesel export ban, use quotas to fulfil US deal, sources say