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European Union countries are considering a French proposal to release 50 million barrels of diesel from emergency stocks as the United States pressures allies to help lower soaring fuel prices and threatens restrictions on U.S. diesel exports, Reuters reported Friday.
EU governments discussed the proposal Friday, two sources familiar with the talks told Reuters.
The plan would also see members of the International Energy Agency release an additional 50 million barrels of crude oil, according to the report.
The discussions come after the Trump administration pressed major European countries, including France and Germany, to release 100 million barrels of diesel within 20 days.
Washington has warned that it could restrict U.S. diesel exports if European countries do not act, as President Donald Trump faces pressure to contain record fuel costs ahead of the Nov. 3 midterm elections.
European governments, however, are seeking assurances from Washington.
During Friday’s talks, EU countries discussed making any further release of diesel stocks conditional on a U.S. commitment not to impose a unilateral export ban.
French President Emmanuel Macron also urged Group of Seven countries to coordinate efforts to lower fuel prices during a call with Trump on Friday.
Macron stressed that G7 members shared an interest in acting together and avoiding export restrictions, according to the French presidency.
France, which currently holds the G7 presidency, said Macron intended to convene a video call with other G7 leaders as soon as possible to coordinate the response.
The G7 also includes Canada, Germany, Italy, Japan, Britain and the United States.
The dispute comes as global diesel supplies tighten sharply amid disruptions linked to the Iran war, Ukrainian attacks on Russian energy infrastructure and China’s decision to suspend fuel exports in October.
Russia has restricted diesel exports after Ukrainian attacks damaged refineries, while Chinese refiners have halted most October fuel exports to bolster domestic inventories.
U.S. Treasury Secretary Scott Bessent on Thursday called on European countries to accelerate previously promised releases and make additional supplies available.
“American farmers, truckers, and businesses should not be left carrying the burden of a global diesel shortage,” Bessent said.
Average U.S. diesel prices have risen more than 70% since the start of the Iran war to about $6.39 a gallon, according to AAA data, making energy costs an increasingly sensitive issue for Republicans ahead of the midterms.
Trump said Wednesday that his administration was still considering restricting diesel exports as one option for lowering domestic prices.
European officials have warned such a step could worsen shortages elsewhere and damage Europe’s economy.
EU trade chief Maros Sefcovic said Thursday that a U.S. export ban would be unexpected and could have “very dramatic consequences” for Europe.
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The latest discussions follow the IEA’s decision in March to make 400 million barrels of emergency oil stocks available to the market in response to supply disruptions from the Middle East conflict, the largest coordinated release in the agency’s history.
IEA Executive Director Fatih Birol said this week that a large share had already been released, although roughly one-third had yet to reach the market.
Birol said further releases remained possible, with around 80% of IEA countries’ overall emergency reserves still available.
The United States said earlier this week it would offer loans of up to 40 million barrels from its Strategic Petroleum Reserve as part of its remaining commitment under the March agreement.
U.S. officials have argued that European members have moved more slowly in delivering their pledged volumes.
Macron’s office said the goal was to ensure coordinated action among major economies rather than competing national measures that could further disrupt global fuel markets.
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