The world is in a diesel crisis; The siege of Hormuz, attacks on refineries in the Ukraine war and the depletion of global reserves will make diesel shortages permanent by 2027. Summary: In recent months, the global energy market has been dealing with a diesel shortage crisis with the disruption of vital waterways, damage to refineries in West Asia and drone attacks on Russian oil facilities. According to the report of the International Energy Agency, the wholesale price of diesel fuel in several key markets exceeded $200 per barrel and even reached $220. The temporary calm of the market is not a sign of a sustainable solution to the crisis. Before the military conflicts, the Strait of Hormuz transported almost 20 million barrels of crude oil and refined products daily. A disruption in this route reduced the export of oil products from the Middle East from 4.7 million barrels to 1.9 million barrels per day. Security concerns, the increase in ship insurance costs and the lack of dedicated tankers prevented the return of normal export flows. The damage to Bahrain's BAPCO refinery and the closure of Saudi Arabia's Jizan refinery, along with Ukraine's attacks on Russian refineries, reduced global diesel supplies. Total net exports of diesel fuel from Russia and the Middle East decreased by 1.3 million barrels per day compared to the same period last year. Efforts by American and Chinese refiners to make up for this shortfall could not prevent the decline of 700,000 barrels of daily global supply. The increase in the cost of transportation and production, the price of consumer goods and the pressure on households are among the consequences of this crisis. At the same time, the Northern Hemisphere's entry into the cold season and the reduction of diesel fuel reserves intensified the concerns. The release of strategic oil reserves will only be a temporary relief and cannot be a sustainable substitute. Postponing the major repairs of the refineries also increased the risk of new disruptions. Morgan Stanley analysts predict that in the second quarter of 2027, about 3.4 million barrels of global refining capacity will be shut down due to repairs. The International Energy Agency also believes that the restoration of the depleted reserves and the return to a stable balance will probably not be achieved before the second half of 2027. Read the full text on this month's site today:.

The world is in a diesel crisis; The siege of Hormuz, attacks on refineries in the Ukraine war and the depletion of global reserves will make diesel shortages permanent by 2027. Summary: In recent months, the global energy market has been dealing with a diesel shortage crisis with the disruption of vital waterways, damage to refineries in West Asia and drone attacks on Russian oil facilities. According to the report of the International Energy Agency, the wholesale price of diesel fuel in several key markets exceeded $200 per barrel and even reached $220. The temporary calm of the market is not a sign of a sustainable solution to the crisis. Before the military conflicts, the Strait of Hormuz transported almost 20 million barrels of crude oil and refined products daily. A disruption in this route reduced the export of oil products from the Middle East from 4.7 million barrels to 1.9 million barrels per day. Security concerns, the increase in ship insurance costs and the lack of dedicated tankers prevented the return of normal export flows. The damage to Bahrain's BAPCO refinery and the closure of Saudi Arabia's Jizan refinery, along with Ukraine's attacks on Russian refineries, reduced global diesel supplies. Total net exports of diesel fuel from Russia and the Middle East decreased by 1.3 million barrels per day compared to the same period last year. Efforts by American and Chinese refiners to make up for this shortfall could not prevent the decline of 700,000 barrels of daily global supply. The increase in the cost of transportation and production, the price of consumer goods and the pressure on households are among the consequences of this crisis. At the same time, the Northern Hemisphere's entry into the cold season and the reduction of diesel fuel reserves intensified the concerns. The release of strategic oil reserves will only be a temporary relief and cannot be a sustainable substitute. Postponing the major repairs of the refineries also increased the risk of new disruptions. Morgan Stanley analysts predict that in the second quarter of 2027, about 3.4 million barrels of global refining capacity will be shut down due to repairs. The International Energy Agency also believes that the restoration of the depleted reserves and the return to a stable balance will probably not be achieved before the second half of 2027. Read the full text on this month's site today:.