European countries are consulting on releasing diesel stocks after the US
threatened to ban diesel exports if strategic reserves are not tapped. A
European Commission spokesperson said Brussels is in close contact with member
states to coordinate next steps and is holding high-level talks with the US.
Industry sources estimate Europe may hold up to 400 mln barrels of diesel across
commercial stocks and reserves; a release could pressure global diesel prices.
Rapidan founder Bob McNally said European governments have not fulfilled pledged
strategic stock releases, including diesel, and that US export curbs could be
eased if Europe moves to withdraw pledged supplies.
