Russia is actively considering a full ban on diesel exports amidst domestic fuel shortages and rising prices. This move comes after an intensified campaign of Ukrainian drone attacks on Russian refineries and supply networks. Deputy Prime Minister Alexander Novak confirmed on Tuesday that such a ban is under review, alongside existing restrictions on gasoline and jet fuel exports, though he categorized the domestic market situation as "challenging but under control."
Ukrainian attacks have significantly impacted Russia's refining capacity, with some reports claiming over 30% offline, leading to a 25% decrease in gasoline output compared to June 2025 averages. This has resulted in restrictions on fuel sales across nearly two dozen Russian regions, including Saratov, Tver, Omsk, Crimea, and Tatarstan. Despite these disruptions, Novak emphasized that Russia has maximized refinery capacity, shortened repair timelines, and postponed maintenance.
Russia, the world's second-largest diesel exporter, has already seen its exports plummet to multi-year lows, averaging 480,000 barrels per day (b/d) in early June, a 53% drop from a year ago. A full export ban would further tighten global supplies, particularly impacting Brazil, Turkey, and North Africa, which have been major buyers of discounted Russian diesel since the EU and UK banned its imports. The potential ban is expected to last "a few months" to replenish domestic stocks, with authorities acknowledging a current diesel surplus.
The domestic fuel crunch has seen gasoline prices climb 6.6% since the start of the year, reaching 69.11 rubles per liter ($3.56 per gallon) by June 15. In response to the crisis, Russia's Energy Ministry formed a task force with major energy corporations, and Rosneft CEO Igor Sechin proposed measures in May to overhaul fuel distribution, including forcing oil companies to direct at least 30% of crude to domestic refineries. Lawmakers are also fast-tracking tax legislation to subsidize gasoline imports from India.
