G7 agrees to jointly release 100 million barrels of diesel and crude oil from stockpiles to stabilize energy market

Reuters and others reported that seven major countries (G7) agreed to release 100 million barrels of diesel and crude oil from their reserves over the next four months.

According to Reuters, etc., the G7 held a meeting chaired by French President Emmanuel Macron on the afternoon of the 2nd (local time) and issued a joint statement, saying, "We decided to jointly release 100 million barrels of diesel and crude oil through the International Energy Agency (IEA) to stabilize the global energy market."

“We will immediately implement our joint release commitment of 100 million barrels through the IEA and implement it over a four-month period,” they said in a statement.

In addition, the G7 agreed at the meeting that day not to ban diesel exports between member countries. It was also decided to coordinate maintenance schedules between oil refineries in member countries.

Previously, France's Elysee Palace announced that President Macron planned to discuss energy market issues, including the surge in diesel prices, by phone with U.S. President Donald Trump last night and then convene a meeting among G7 member countries this afternoon to discuss measures to respond to the crude oil and refined oil markets.

European Union (EU) member states, which are under strong pressure from the Trump administration to release their diesel reserves ahead of the G7 meeting, also held an emergency response meeting this morning to discuss response measures.

In relation to this, Reuters quoted a source familiar with the matter as saying that EU member states exchanged opinions on France's proposal for European countries to release 50 million barrels of diesel and IEA member countries to release 50 million barrels of crude oil through a video conference this morning.

According to this source, European countries agreed at this meeting that if Europe agrees to release additional diesel from its reserves, the United States should also promise not to unilaterally ban diesel exports.

The Trump administration, which is considering blocking diesel exports as a measure to curb high prices, a major negative factor ahead of the midterm elections in November, has sent an ultimatum to Europe that it will ban US diesel exports unless Europe releases strategic oil reserves to stabilize diesel prices.

The price of diesel in the United States has soared 70% compared to the same period last year, exceeding $6.50 per gallon, increasing the burden on households and increasing dissatisfaction with the Trump administration.