EU wants coordinated approach with US on lowering diesel prices, Sefcovic says

EU and US Discuss Coordinated Approach to Stabilize Diesel Prices

Talks on Diesel Supply and Pricing Between EU and US Officials

By David Lawder

Background on Diesel Price Spikes

MILWAUKEE, Oct 1 (Reuters) - European Union trade chief Maros Sefcovic said on Thursday that he discussed tight diesel supplies and price spikes with US Trade Representative Jamieson Greer and expressed Europe's desire for a coordinated approach to lowering prices.

Concerns Over Export Restrictions

Sefcovic told reporters at the G20 trade ministers meeting that any move to restrict diesel exports would be unexpected and have detrimental effects on Europe's economic performance.

Reuters reported earlier that the Trump administration has told France and Germany that they faced US diesel export restrictions if they failed to release the fuel from their strategic reserves.

Commitments and Ongoing Dialogue

Sefcovic said he and Greer did not go into great detail on the topic, adding that Europe had exceeded its commitment to buy US energy under last year's trade agreement struck in Turnberry, Scotland.

Focus on Coordination and Supply Security

"We clearly decided to stay in close touch to avoid any surprises here," Sefcovic said of the diesel discussions. "And I understand that there is the intention and definitely strong preference from the European side for a coordinated approach and for finding the solutions, which I think would be first and foremost, secure the supply" for citizens on both sides of the Atlantic Ocean.

"We have every interest in working together on lowering the prices, be it on diesel or also other products from oil and gas supplies," he added.

US Perspective on Diesel Reserves

Earlier, Greer told Bloomberg TV that he had discussed the diesel issue with European counterparts in Milwaukee and expressed the Trump administration's desire for them to release more diesel reserves.

(Reporting by David LawderEditing by Bill Berkrot)