Wall Street Journal (July 1)
“Once one of the world’s main exporters of petroleum products, Russia has banned exports of gasoline and jet fuel for months as Ukrainian attacks intensified. On Sunday, Putin said he is considering a ban on exporting diesel.” Facing an uneven, but widespread shortage, the government now plans to begin importing oil. Lines for gas currently range from hours-long to overnight or even longer. One local government even “started providing portable toilets alongside mileslong fuel lines.” The situation will probably get worse since “the tempo of Ukrainian attacks” has vastly “outpaced Russia’s ability to maintain its refineries, a task already constrained by international sanctions that ban the import of needed equipment.”
Tags: Attacks, Ban, Diesel, Exports, Gasoline, Government, Hours-long, Importing, Jet fuel, Outpaced, Overnight, Petroleum, Refineries, Russia, Sanctions, Shortage, Ukraine
Financial Times (May 7)
“US fuel exports have surged to a record level as Europe and Asia lean on American energy supplies to make up for the shortfalls caused by the war in Iran.” Last week, America exported over “8.2mn barrels a day of refined fuels including gasoline, diesel and jet fuel,” a year-on-year increase exceeding 20%. Last week’s “huge demand for US energy” also transformed America into “a net exporter of crude oil for the first time since the second world war.” While this provides “a windfall” to US energy companies, “it also risks a political backlash for President Donald Trump as domestic pump prices rise.”
Tags: 20%, 8.2mn bbl, Asia, Backlash, Crude oil, Demand, Diesel, Energy, Europe, Exports, Fuel, Gasoline, Iran, Jet fuel, Record, Shortfalls, Surged, Trump, U.S., War, Windfall
New York Times (August 30)
“The world is well stocked with oil…. Demand continues to grow, but production seems likely to keep pace.” This is one reason “the market seems surprisingly calm” given “the degree of political turmoil not only in Libya but in the Middle East.” The other reason is China. After accounting for “roughly half of consumption increases in the last two decades,” China is no longer driving consumption. The nation’s shift to EVs could even “lead to drops in demand there for diesel this year and for gasoline in 2025.”
Tags: 2025, Calm, China, Consumption, Demand, Diesel, EVs, Gasoline, Libya, Middle East, Oil, Political turmoil, Production, Well stocked, World
Investment Week (June 22)
“UK inflation has hit another 40 year high of 9.1% in May, up from 9% in April. The slight increase from already record high inflation rate came largely from rising food and non-alcoholic beverage prices,” while gas and diesel prices rose to “the highest on record.” The “top financial priority” for 58% of UK adults is now “day to day costs, like paying bills and for food.”
MarketWatch (March 8)
“Car makers are facing a perfect storm of trade tariffs, slumping demand in the crucial Chinese market, and a backlash against diesel, which are together having a seismic effect on businesses. A shift toward electric and autonomous vehicles has not helped. They require vast investment and a different way of thinking.” Instead of the usual “corporate grins” at the Geneva Motor Show, there is “a collective grimace.”
Tags: Backlash, Car makers, China, Diesel, EVs, Geneva Motor Show, Grimace, Investment, Perfect storm, Slumping demand, Trade tariffs
The Drive (May 20)
Germany “is turning its back on traditionally powered cars and looking towards electric for its future. Data provided by Germany’s Federal Motor Transport Authority…shows a surprisingly sharp upwards trend in EV purchases compared to 2017.” The data also shows diesel sales are “withering” and reveals an unexpected surprise: “Kia’s Soul EV topped the charts by selling 721 units in April, followed by the BMW i3 with 491 cars.”
