Trump’s Diesel Export Threat Puts Britain on Edge
Italy Pushes Refineries to Raise Fuel Output Amid Price Surge CityAM.com is the online presence of City A.M., London's first free daily business newspaper. Both platforms cover financial and business news as well as sport and… President Trump’s newest trade threat sent markets into a frenzy once again on Friday.
Earlier this week, Trump said he would back Republican proposals to halt exports of diesel in order to ease prices ahead of mid-term elections in November.USTreasury secretary Scott Bessent said there was a review underway of whether a ban could work as American diesel prices reached record highs at over £4.87 a gallon.
Fuel prices could put Britain under threat.
Reform UK’s Treasury spokesman Robert Jenrick reportedly wrote to Bessent to warn that a ban would be a “big mistake”.
Just as in the US, anger over spiralling fuel prices reflects the salience of motorists’ concerns in the debate around the cost of living.
Rachel Reeves’ previous moves to freeze fuel duty at successive fiscal statements have been welcomed by the likes of the Royal Automobile Club (RAC) Foundation.
But researchers at the organisation are now warning that average diesel prices are likely to surpass £2 a litre.
Adam Bell, a consultant at decarbonisation consulting group Stonehaven, has been widely quoted warning in tabloids, failing to rule out the prospect of diesel surging above £3 a litre as a result of a potential ban.
Panmure Liberum analysts believe it was “not unreasonable” to predict that diesel prices would jump to £2.50 a litre.
Trump may yet fail to follow through on his threats.
Analysts at Fitch, the credit ratings agency, said a 90-day ban would be “highly controversial” and may fail to get approval from energy secretary Chris Wright or interior secretary Dough Burgum.
Oil and industry lobbyists may also fight back against a plan with questionablepoliticalupsides.
| Product | Price | Change |
|---|---|---|
| Brent Crude | $102.14/bbl | +0.34% |
| WTI Crude | $96.90/bbl | +0.21% |
| EN590 Diesel | $846/MT | +0.18% |
| Jet Fuel A-1 | $1090/MT | +0.55% |
| Mazut M100 | $450/MT | -0.15% |
| Bitumen 60/70 | $470/MT | +0.08% |
| Sulphur Gran 99.5% | $470/MT | -0.44% |
| Urea 46% Gran | $650/MT | +1.12% |
| NPK 16-16-16 | $460/MT | -0.28% |
| Nat Gas TTF | $15.42/MMBtu | +0.92% |
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