Russia weighs diesel export limits and price controls amid regional demand

The Russian government is again weighing a temporary restriction on diesel exports from the country. The coverage in Vedomosti notes this possibility, citing two people familiar with the discussions within the Council of Ministers. The paper describes a plan that could block diesel shipments to non-producers such as traders, oil depots, and other market participants, effectively limiting outbound volumes while keeping some domestic supply secure. One insider indicated that some sellers may be moving diesel abroad even as domestic demand is expected to grow. The government has also signaled that purchases for the Far North and other severely climate-affected regions will begin in August as part of northern delivery operations, stressing the importance of ensuring fuel availability where harsh winters demand it most. This context comes as part of ongoing decisions about managing supply and prices in a volatile market. The second source confirms that the topic was on the table during a June 7 meeting of a government commission focused on customs, tariff and non-tariff regulations. The commission weighs how measures could affect imports, exports, and price controls across the fuel sector. In a broader economic thread, President Vladimir Putin extended the existing ban on supplying oil and oil products from Russia at a price ceiling until December 31, 2024. This extension aligns with prior government measures aimed at stabilizing domestic markets while navigating international dynamics. Earlier reports noted that Brazil has expressed interest in paying for Russian oil and natural gas using its own currency, signaling a potential shift in how energy commodities are settled between major trading partners. This evolving policy landscape highlights the government’s balancing act between domestic resilience and international trade relationships as the year progresses, with diesel export restrictions and pricing interventions likely to influence regional markets in Canada, the United States, and beyond.