US pressures Europe to release diesel reserves as Trump threatens export ban

Donald Trump has said he may ask European countries to release some of their diesel reserves as he considers banning US exports of the fuel.

The UK is heavily reliant on imported diesel from the US. But with US voters also facing higher fuel costs ahead of the midterm elections in November, Trump has threatened to restrict diesel exports.

Banning exports would flood the US market with diesel, and could bring prices down significantly for American drivers.

The US is a vital supplier of diesel to the world, exporting between 1.2 and 1.5 million barrels per day, with most of it going to Latin America.

Russia's invasion of Ukraine led to sanctions, diverting Russian sales away from Europe. More recently Ukrainian attacks on Russian refining capacity has had a knock-on effect on global supply.

On Thursday, Trump was asked whether he would call on European countries to release some of their own diesel reserves.

An earlier post from US Treasury Scott Bessent on social media urged Europe to get ready to release some of their own diesel supplies immediately, arguing that US farmers, truckers, and businesses "should not be left carrying the burden" as prices soar.

Over half of the UK's diesel is imported, with 31% of the imports coming from the US.

UK Energy Minister Martin McCluskey was on a call with European counterparts on Thursday to discuss the potential ban.

"We have a diverse and resilient supply. We continue to engage with our international partners and the UK fuel industry," a government spokesperson said.

International Energy Agency rules say member states, including the UK, must hold oil stocks equivalent to 90 days of net oil imports.

A European Commission spokesperson said that there were "lots of calls, lots of meetings" taking place on the diesel situation, including with "high level contacts" in the US administration.