U.S. and Russia reach agreement on diesel supply to stabilize market prices

U.S. President Donald Trump announced a deal with Russian President Vladimir Putin to supply substantial quantities of Russian diesel to the American and international markets. Following a phone call described by Trump as highly successful, the two leaders agreed on a tiered delivery schedule intended to significantly lower fuel costs. This move is presented as a central component of the U.S. administration's priority to reduce energy prices, with Trump further noting that American control over the Strait of Hormuz would supplement the positive impact of this fuel influx on global markets.

The supply schedule begins immediately with an initial delivery of over 300,000 tons of diesel. This will be followed by 500,000 tons in November and a subsequent tranche of 1,000,000 tons. Additionally, Russia is expected to provide another 3,000,000 tons, contingent upon the operational status of its refineries. To facilitate these transactions, the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) is preparing to issue a temporary general license allowing for the movement of this Russian fuel despite existing sanctions.

While the administration anticipates a rapid decrease in diesel prices, specific timelines for the final, larger volume of fuel remain undefined. The distribution ratio between the domestic U.S. market and international consumers also remains to be clarified.