Russia bans diesel exports to ensure domestic supply after targeted Ukrainian drone strikes
Russia's Diesel Export Ban and Its Impact on Domestic and Global Markets
Background: Ukrainian Drone Attacks and Fuel Shortages
MOSCOW, July 8 (Reuters) - Russia introduced a ban on diesel exports on Wednesday as part of a raft of measures to support the domestic fuel market after systematic Ukrainian drone attacks on oil refineries triggered gasoline shortages and price spikes.
Drivers in many regions are facing hours-long lines to refuel, as intensifying Ukrainian strikes on Russian energy infrastructure squeeze supplies of diesel and gasoline.
Government Response and Public Concerns
Deputy Prime Minister Alexander Novak told a televised government meeting, chaired by President Vladimir Putin, that the fuel situation remained complex and that "it is clear that the current situation at filling stations is causing concern among the public."
"Today, a ban on diesel fuel exports was introduced, and this will make it possible to increase supplies to the domestic market," he said, adding that Russia would start importing fuel in July.
Ban Details and Duration
BAN TO STAY IN PLACE UNTIL JULY 31
Industry sources said last week that Russia had started seaborne imports of gasoline from India.
The government said the ban on diesel exports, which includes producers of the fuel, will be in place until July 31. Supplies under pre-existing government agreements, such as a deal with Mongolia, will be exempt from the restrictions.
Political Statements and Strategic Objectives
Putin told the meeting that Ukraine was trying to damage Russia's economy.
"But most importantly, it seeks to create a sense of anxiety in society. We all understand that this goal is unattainable. The resilience of Russia's power system is very high — among the highest in the world," said Putin.
Ukraine says its attacks on Russian fuel facilities are designed to limit Russia's ability to wage war on it and force Moscow to start peace talks.
Market Reactions and Export Data
European Diesel Margins and Global Buyers
Benchmark European diesel margins rose to a record $60.17 per barrel after Russia announced the export ban.
In June, Turkey and Brazil were the dominant buyers of Russian diesel, together absorbing at least half of the available cargoes, shipping data showed.
Decline in Russian Diesel Exports
Russia's exports of seaborne diesel and gasoil had already plunged in June, collapsing by 39% from the previous month to around 1.8 million metric tons and falling 46% from 3.35 million tons in the same month a year ago.
"They (Russia) basically already had an export ban in all but name. June (exports) was down to 400,000 barrels per day, July on track to be even lower," said one European trading source.
Russian diesel exports were just 187,000 bpd over 1 to 8 July according to data from Kpler, compared with 535,000 bpd for the full month of July 2025 and 557,000 bpd in July 2021 prior to the Ukraine war.
Other Major Importers
Beyond the main buyers, Morocco, Egypt and Senegal also emerged as major importers of Russian diesel cargoes in June, shipping data showed.
Reporting and Editorial Credits
(Reporting by Reuters, Writing by Alessandra Prentice, Additional reporting by Ahmad Ghaddar and Robert Harvey in London; Editing by Philippa Fletcher and Andrew Osborn)
