Diesel pricing in Europe
Where next in Europe’s diesel crisis?
The fate of the continent’s supply crunch may lie elsewhere—in China, the Middle East and Russia
Europe’s diesel deficit has provided the only credible challenger to gas as the centrepiece of the continent’s energy crisis this year. Northwest Europe diesel cracks averaged $9/bl in 2021 and have averaged $40/bl so far this year—an increase of 420pc. But what has been driving the rally? And what is the outlook for European diesel pricing into 2023? Global capacity In a letter to his country’s oil executives this summer, US president Joe Biden warned the tightness in the world’s refining capacity was a “global challenge and global concern”. Biden’s words reflected the fact that c.3.5mn bl/d of distillation capacity had been shut down since the pandemic, resulting in a net decline after new
Also in this section
15 April 2025
Long-delayed prospects for onshore LNG production in Mozambique have improved thanks to US financing approval, but security challenges blight way ahead
14 April 2025
US consumers are not likely to see gasoline prices fall to Trump’s ‘beautiful number’, at least if the president also wants to encourage more drilling
11 April 2025
The Gulf state’s offer to supply electricity-starved Syria is an opportunity to support a key ally, but Doha’s ambitions to build broader pipeline networks to Turkey and Europe face challenges
11 April 2025
As the global economy grows, demand for materials is expected to increase. The way materials are made could incorporate new technologies in the future to ensure economic growth is more sustainable
