Europe increases imports of Russian diesel as EU struggles to wean off Moscow's energy supplies

Global Economy

TBS Report
03 August, 2022, 05:55 pm
Last modified: 03 August, 2022, 06:07 pm
  • Europe increased its imports of Russian diesel by 13% last month
  • Imports of Russian diesel are up 23% year over year
  • EU steadily trying to move away from a dependence on Russian oil

Imports of Russian-sourced diesel to Europe increased almost 13% last month as the region struggled to wean itself off Moscow's fuel as a response of the Ukraine war.

Russian-sourced diesel to Europe surpassed non-Russian-sourced diesel by nearly 200,000 barrels per day, The Business Insider reported quoting Vortexa, which tracks energy commodities.

Overall, European imports of Russian diesel grew by a stunning 23 % from July 2021, according to a report published Tuesday by Vortexa.

The growing demand for Russian diesel in Europe highlights how difficult it is to stifle Moscow's energy flows as the conflict in Ukraine continues.

The European Union vowed earlier this year to be 90 percent free of Russian oil imports by the end of 2022, but has since struggled with increasing prices and output limits on alternative sources.

Because of the rising diesel prices, as well as refineries struggling to keep pace with demand, "it appears questionable whether Europeans will manage to carry through on the announced diesel import ban fully," Vortexa's Chief Economist David Welch said.

Europe's supply of diesel comes from the transformation of crude into fuel at European refineries. The continent is struggling to keep pace because of cuts to refining capacity made during the height of the Covid-19 pandemic, when travel plummeted.

Europe is simultaneously racing to shore up energy stores ahead of winter amid concerns of a full Russian shutoff, while condemning the Kremlin for its invasion of Ukraine.

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