The United States, under President Trump, has warned European partners that a ban on American diesel exports could be imminent unless they unlock part of their strategic fuel stocks. The warning came as diesel prices in the United Kingdom surged past £2 per litre, the highest level ever recorded, and as the Iran-Israel conflict continued to choke the flow of refined products through the Strait of Hormuz.
European officials, including representatives from France, the Netherlands and the United Kingdom, convened a rapid G7 video conference on 1 October. In that meeting, the group announced a coordinated plan to release up to 100 million barrels of oil and diesel reserves over the next four months, with a substantial diesel portion delivered within the first twenty days. The operation will be overseen by the International Energy Agency (IEA) and is intended to flood the market with enough supply to temper price spikes.
US pressure and the threat of an export ban
President Trump indicated that the United States might ask allies to tap their diesel reserves as a pre-emptive step before potentially restricting U.S. diesel exports. The president argued that keeping surplus barrels at home would lower domestic pump prices ahead of the November mid-term elections. Treasury official Scott Bessent echoed the stance on social media, urging Europe to act quickly so that American farmers, truckers and businesses would not bear the brunt of rising costs.
Europe relies heavily on U.S. diesel, with roughly 31 % of the United Kingdom’s imports coming from America. The broader EU also imports significant volumes from the United States after sanctions on Russian and Middle Eastern supplies reduced traditional sources. Analysts warn that a unilateral American ban would push global diesel prices even higher, unless other producers can immediately fill the gap.
G7’s coordinated release and market safeguards
The G7 communiqué outlined several concrete measures: a front-loaded diesel release, synchronization of refinery maintenance schedules to avoid simultaneous capacity cuts, and a pledge not to impose export restrictions among member states. In addition, the group appealed to nations with large refining capabilities to boost output of refined products, especially diesel, to support the global supply chain.
According to the statement, the 100 million-barrel release will be staggered over four months, with an initial surge designed to “settle the nerves” of fuel markets. AA President Edmund King welcomed the move, suggesting that consumers could see price differences of 6-10 pence per litre within short distances if the market stabilises. He also called for the cancellation of a proposed 5 pence fuel duty increase and an additional 5 pence cut, arguing that the government’s freeze on fuel duty, due to end on 31 December 2026, should be extended.
Impact on European consumers and industry
British officials, including Transport Minister Keir Mather, have reassured the public that the nation’s diesel supply remains robust, citing diversified import routes and domestic stockpiles that meet the International Energy Agency’s 90-day requirement. Nonetheless, the UK’s average diesel price has climbed from 142 pence per litre in early February to just under 200 pence per litre, a jump that strains haulage firms and agricultural users.
Training provider Dulson Training highlighted the practical consequences: fuel costs for each lorry have risen by up to 50 pence per litre compared with a year ago, eroding profit margins and forcing businesses to absorb higher expenses. Meanwhile, the EU’s strategic reserves hold roughly 109 million tonnes of crude and fuel, with about a third dedicated to diesel, giving policymakers a buffer as they coordinate their response.
By releasing strategic stocks and encouraging coordinated refinery output, the alliance hopes to blunt the price shock caused by geopolitical tensions and prevent a cascade of export bans that could further destabilise the world’s diesel market.
