New Delhi – The Group of Seven (G7) nations and their partners plan to release up to 100 million barrels of emergency oil and diesel reserves over the next four months in an effort to bring down rising fuel prices amid continued disruptions linked to the Iran conflict.
French President Emmanuel Macron announced Friday that the release would be coordinated by the International Energy Agency (IEA), with particular emphasis on increasing diesel supplies.
European diesel prices and Brent crude futures declined following the announcement as markets anticipated additional supplies.
The decision follows pressure from U.S. President Donald Trump’s administration, which had raised the possibility of restricting diesel exports unless European countries released more fuel from their strategic reserves. Such restrictions could further strain European energy markets, which depend heavily on imported diesel to offset insufficient domestic refinery production.
In March, the IEA coordinated an emergency plan to release 400 million barrels of oil from strategic reserves following the outbreak of the Iran war. However, Trump criticized European nations for what he described as delays in releasing their pledged supplies.
According to a subsequent G7 statement, the newly announced 100 million-barrel release could include some supplies that have yet to be made available under the earlier agreement.
Macron said G7 members had agreed to release reserves according to previously discussed proportions, prioritizing diesel supplies. He also said participating countries had committed to maintaining fuel exports and avoiding export restrictions.
Trump welcomed the announcement in a social media post Friday, saying European countries had agreed to release substantial quantities of diesel from their reserves and that the process would begin immediately.
The coordinated release comes as the Iran conflict continues to drive volatility in global energy markets, pushing up crude oil prices and creating even greater pressure on refined petroleum products, particularly diesel and gasoline. (Source: IANS)
