G7 Agrees to Release 100 Million Barrels of Oil Reserves to Curb Diesel Prices

October 2, 2026 at 9:33 PM
icon-facebook icon-twitter icon-whatsapp

PARIS: The Group of Seven (G7) nations agreed on Friday to release 100 million barrels from their oil reserves to address surging diesel prices, following pressure from the Trump administration for European countries to deploy their stocks.

The G7 leaders said the release would begin immediately and continue over four months, with a “frontloaded substantial diesel release within the first 20 days” coordinated through the International Energy Agency (IEA).

“We will convene in the context of the IEA in the coming days to discuss the possibility of additional diesel releases as necessary,” the G7 leaders said in a joint statement.

The G7 comprises France, Canada, Germany, Italy, Japan, the United Kingdom and the United States, with France currently holding the group’s presidency. The European Union also participates in G7 meetings.

US President Donald Trump said shortly before the G7 announcement that Europe had “agreed to release a massive amount of their heavily stocked Diesel Oil”.

The world is facing fuel supply disruptions linked to Ukrainian attacks on Russian refineries and disruptions in the Middle East amid the war involving Iran.

The Trump administration has been pressing European countries to release diesel stocks as an alternative to a potential US export ban.

US Treasury Secretary Scott Bessent said on Thursday that US partners in Europe “should accelerate delivery on their existing commitments and make additional supplies immediately available to address ongoing disruptions”.

The G7 leaders agreed Friday to “refrain from export restrictions on energy and energy products between G7 countries and call on all producers to refrain from imposing bans that could exacerbate market tensions,” according to their joint statement.

G7 to release 100m barrels of oil over 4 months: Macron

Following a G7 meeting, French President Emmanuel Macron said the group would work together to lower petroleum product prices, particularly diesel, and had agreed to release 100 million barrels of oil over four months in coordination with partners and the International Energy Agency (IEA).

In a post on X, Macron said the G7 had also agreed to increase production flexibility to maximise refinery capacity and refrain from measures restricting the trade of energy and petroleum products among partner countries.

EU’s von der Leyen welcomes G7 decision to release fuel stocks

European Commission President Ursula von der Leyen has welcomed the G7’s decision to release 100 million barrels of oil in coordination with partner states and the International Energy Agency (IEA).

“We welcome the decision of G7 countries not to impose any export bans on allies and the continued solidarity between partners [and] we support an IEA-coordinated release of fuel stocks,” she writes on X. “Our citizens need and deserve affordable energy.”

Oil rollercoaster in 2026

Oil markets have been on a rollercoaster in 2026, swinging sharply in response to the US-Iran conflict, disruptions around the Strait of Hormuz and changing expectations for global supply.

Prices surged as fears of prolonged shipping disruptions threatened crude and refined-fuel flows, then fell as supplies showed signs of improving with peace hopes.

ALSO READ: Europe Agrees to Release Diesel Oil Stocks: Trump

Brent has repeatedly moved through major price levels, including the $100-a-barrel mark, while US West Texas Intermediate (WTI) has followed the same volatile path.

Refinery outages, tighter diesel supplies, higher freight costs, and uncertainty over Middle Eastern exports have fueled price swings, making 2026 one of the most unpredictable years for oil markets.

icon-facebook icon-twitter icon-whatsapp