International Energy Agency: Reduced supply from the Middle East and Russia will drive up global diesel prices

The International Energy Agency stated in its monthly report that due to reduced supplies from the Middle East and Russia, the global diesel market will become even tighter in the coming months, pushing prices higher. "Refining capacity is already maxed out, and there are very limited ways to prevent further supply tightening and continued price increases." Preliminary trade data for August shows that total diesel exports from the Middle East and Russia have dropped sharply to 520,000 barrels per day, a year-on-year decrease of nearly 75%.