Russian oil refineries have increased diesel production following the allocation of export quotas linked to an agreement on fuel deliveries to the United States, Reuters reported on October 26, citing two industry sources.
According to those sources, output fell to around 160,000 metric tons per day in early October, compared with 175,000 metric tons in September. After quotas were issued in the middle of the month, production approached 180,000 metric tons per day.
Russia has restricted diesel exports since August, citing the need to stabilize the domestic market. Supplies under an agreement with the administration of Donald Trump were exempted from the restrictions. The U.S. president previously spoke of an initial delivery of more than 300,000 metric tons, additional volumes in November and the possibility of further export increases.
On October 23, the agency reported that a tanker carrying approximately 40,000 metric tons of Russian diesel was heading for New York.
Reuters' sources estimate Russian domestic diesel consumption in October at around 140,000 metric tons per day. That leaves some potential volume for exports, although traditional buyers in neighboring countries also require supplies.