Trump Weighs Diesel Export Ban as US Urges Europe to Tap Reserves

The United States has signalled that European nations should prepare to draw down their diesel stockpiles, as President Donald Trump considers halting American exports of the fuel in response to a worldwide supply crunch. The suggestion came from Treasury Secretary Scott Bessent, who pressed European partners to act swiftly and warned that American farmers, truckers and businesses should not be forced to absorb the impact of soaring prices.

Trump confirmed at the weekend that an export ban remains under active consideration, telling reporters the administration is looking at the option "very seriously." On Thursday he added that he might formally request that European countries release part of their diesel reserves to help calm global markets.

Bessent amplified that message in a social media post, saying European allies should speed up delivery on commitments they have already made and make extra supplies available without delay. He argued that immediate action was needed to address the disruptions that have pushed fuel costs sharply higher.

Britain responded by opening talks with European partners about the possibility of releasing diesel reserves should Washington proceed with a ban. Energy Minister Martin McCluskey joined a call with counterparts on Thursday to discuss the potential consequences of such a move. A source familiar with the discussions described a co-ordinated response as prudent, noting that some European reserves remain from a strategic release carried out earlier in the year.

A government spokesperson said the UK has a diverse and resilient supply chain and continues to engage with international partners and the domestic fuel industry. Ministers have stressed there is no cause for alarm about shortages, though they acknowledge prices are likely to climb further.

The numbers illustrate why the issue carries such weight. The US exports between 1.2 million and 1.5 million barrels of diesel per day, making it one of the world's most important suppliers. Industry experts warn that cutting off those shipments would probably drive international prices sharply higher, even if it brought some relief at American pumps.

David Fyfe, chief economist at Argus Media, said removing US supply from the global market would likely send prices skyrocketing elsewhere. His warning underscores the difficult trade-offs facing policymakers, who must balance domestic political pressure against the risk of destabilising allied economies.

That political pressure is intense. Americans head to the polls in November for midterm elections that will determine control of Congress, and Trump is expected to campaign heavily for Republicans seeking to hold the House and Senate. Diesel costs are a prominent concern for voters, and the president has argued that keeping surplus barrels at home would lower pump prices and offer quick relief to drivers and small businesses.

The broader energy crisis stems from the war in Iran, which began in February. The closure of the Strait of Hormuz, a waterway that normally carries roughly a fifth of the world's oil and gas, has driven up the cost of refined products. An export ban imposed by Russia, another major diesel supplier, has added further strain.

Europe's fuel markets are already feeling the effects. Diesel prices in the UK reached an all-time high this week, with the RAC reporting an average of 199.79p per litre, up from 142.38p previously. Petrol and diesel costs have risen steeply across the continent since the conflict erupted.

The UK is especially exposed because of its reliance on imports. Although the country's four refineries produce more than enough petrol to satisfy domestic demand, they cannot make enough diesel to cover national needs. Diesel is also harder to refine than gasoline and is difficult to substitute because it powers haulage fleets and agricultural machinery, meaning demand cannot easily be reduced when prices spike.

The scale of that dependence is significant. According to the Department for Transport, there were 15.1 million diesel vehicles on UK roads at the end of June, down from 15.7 million a year earlier. Diesel cars alone accounted for 9.8 million of that total, a decline from 10.4 million the previous year.

In Brussels, a European Commission spokesperson said there had been "lots of calls, lots of meetings" about the diesel situation, including high-level contacts with the US administration. The remark suggests that transatlantic discussions are continuing intensively behind the scenes as officials weigh how to respond.

For now, the standoff leaves governments caught between competing priorities. Washington wants to shield its own consumers ahead of a pivotal election, while European capitals fear that restricting supply could deepen a crisis they are already struggling to contain. Whether Trump ultimately imposes a ban may depend on how far Europe is willing to go in releasing its own reserves.