PARIS, Oct 14 — Diesel supply disruptions in the Gulf stemming from the US war against Iran will keep the market tight into 2027, the International Energy Agency said today, as it will take time to rebuild depleted stocks.
“The gasoil market balance will remain tight well into 2027 and is dependent on a recovery of product supply from the Middle East,” the Paris-based agency said in its monthly energy markets report.
Diesel prices have hit record highs across Europe and in the United States in recent weeks, due to both reduced oil exports from the Gulf and damage to refineries in the region from retaliatory attacks by Iran.
Governments have responded by reducing fuel taxes or providing subsidies, and by releasing strategic reserves that will need to be rebuilt.
