Donald Trump has suggested he might urge European countries to release their diesel reserves as he considers a ban on US diesel exports. This statement follows Treasury Secretary Scott Bessent’s call for Europe to prepare to release its diesel supplies, emphasising that US farmers and businesses shouldn’t bear the burden of soaring prices.
The US has threatened to limit diesel exports as a response to rising prices linked to the conflict in Iran. Fuel costs are a key issue for voters ahead of the midterm elections in November.
On Thursday, the UK engaged in talks with European partners regarding the possible release of diesel reserves in the event of an export ban. Such a ban could inundate the US market with diesel, potentially lowering prices for American drivers. However, experts caution that it could escalate diesel prices elsewhere unless other countries secure alternative supplies.
The US plays a crucial role in the global diesel market, exporting between 1.2 and 1.5 million barrels daily. Over half of the UK’s diesel needs are met through imports, with 31% sourced from the US.
When asked Thursday if he would request European nations to release their diesel reserves, Trump responded, “We may do that. They have some diesel.” Bessent also indicated on social media that European nations should “make additional supplies immediately available.”
In the coming weeks, Trump plans to campaign across the US for Republican candidates, aiming to retain control of the House and Senate.
In the UK, diesel prices recently reached record highs, nearly 200p per litre, according to the RAC. UK Energy Minister Martin McCluskey participated in discussions with his European counterparts regarding the potential ban.
A source close to these discussions remarked that it is sensible to prepare a coordinated response with EU countries, although there are still reserves from a previous cooperative release of strategic fuel stocks earlier in the year.
A government spokesperson stated, “We have a diverse and resilient supply. We continue to engage with our international partners and the UK fuel industry.” They reassured that there are no immediate concerns over potential diesel shortages, despite further price increases expected.
