UK Diesel Prices Hit Record High Amid US Export Threats
The UK government is calming public fears over diesel shortages as prices hit record highs and the US threatens to ban diesel exports to Europe.
Average diesel prices in the United Kingdom reached a record high of 200.01p per litre on October 2, representing a 40.5% increase since February. The surge is driven by global supply disruptions stemming from the US-Israel war against Iran and the Russia-Ukraine conflict, which have impacted crude oil flows from the Gulf and the strait of Hormuz.
Donald Trump, President of the United States, has intensified pressure on European allies to release their emergency diesel stockpiles to lower global prices. He has indicated he may call for these drawdowns and is considering a ban on US diesel exports to force compliance from nations like France and Germany. US Treasury Secretary Scott Bessent supported this stance, demanding that European partners make additional supplies immediately available so that American businesses do not carry the burden of the shortage alone.
In response, the Government of the United Kingdom joined crisis talks in Brussels with European partners and the International Energy Agency to discuss fuel stocks. Transport Minister Keir Mather has urged the public not to panic, describing the UK's supply as robust and resilient due to a diverse range of sources and a 42-day reserve. However, the UK remains vulnerable, importing nearly 55% of its diesel, with approximately 30% coming from the US. To mitigate costs for consumers, the government extended a 5p fuel duty cut through the end of the year, a move coinciding with a planned 10-week maintenance shutdown of the Fawley refinery, the UK's largest facility.
