The UK government is pressing the United States to reconsider a potential ban on diesel exports amid growing concerns over fuel shortages and rising prices. Andy Burnham, representing the UK, has raised the issue with President Donald Trump, following the latter’s announcement that he is seriously considering imposing such a ban.
Diesel prices in the UK reached 199.18 pence per litre recently, surpassing the previous record set in 2022 after Russia's invasion of Ukraine. This surge has raised alarm within government circles about the risk of shortages, particularly as the UK’s diesel reserves are critically low, with just 42 days’ supply—the second lowest globally, trailing only Australia’s 31 days. The UK imports a significant portion of its diesel—approximately one-third—from the US, either directly or indirectly through refineries in the Netherlands that process American crude oil.
US Energy Secretary Chris Wright has indicated that the administration is exploring voluntary export limitations with refiners as an alternative to an outright ban. Nonetheless, the UK government remains wary of the potential immediate impact on fuel prices and the longer-term risk of shortages should such a ban be implemented.
Senior UK officials describe the situation as a serious concern being closely monitored across several departments, including the Department for Transport, the Cabinet Office, and the Department for Energy Security and Net Zero. There is anxiety that the escalating fuel costs could cause consumers to alter their driving habits, while also pushing up food prices during the critical pre-Christmas period. Supermarkets have expressed worries about increased haulage costs, which could translate into higher prices for shoppers, compounded by recent crop reductions attributed to a hot summer.
The tension surrounding diesel supplies is exacerbated by recent geopolitical developments, particularly in the Middle East. Fears of a blockade at the Bab al-Mandeb Strait, a key maritime chokepoint, add further risk to an already fragile global fuel supply chain. Simon Williams, head of policy at the RAC, warned that rising diesel costs will not only affect drivers at the pump but will also lead to broader price increases for goods and services reliant on diesel transportation.
In response, the UK Department for Energy emphasized the country’s diverse and resilient fuel supply and its ongoing engagement with international partners and the domestic fuel industry to manage the situation.
While the US government searches for ways to balance domestic energy needs and global market stability, the potential diesel export ban remains a point of concern for the UK, highlighting vulnerabilities in fuel supply chains amid ongoing global uncertainties.