Trump announces Russian diesel deal amid soaring US fuel prices

Russia to supply 300,000 tonnes of diesel immediately, followed by 1.5 million more, as prices soar amid the Iran war.

United States President Donald Trump said that Russia has agreed to supply 300,000 tonnes of diesel fuel to global markets amid discussions with Russian President Vladimir Putin.

“I have just concluded a highly successful discussion with President Vladimir Putin, of Russia, wherein it was agreed that Russia will immediately supply over 300,000 Tons of Diesel Fuel to the American and Global Marketplace, another 500,000 Tons during the month of November, and 1,000,000 Tons immediately thereafter,” Trump said in a post on his Truth Social platform.

The president added that Russia would deliver an additional 3 million tonnes of fuel “within a short period of time”. He said that the country would supply 500,000 tonnes in November.

An envoy for Russian President Vladimir Putin, Kirill Dmitriev, praised cooperation between Russia and the United States on diesel and energy in a post on X shortly after.

“Russia-US cooperation on diesel and energy will benefit the world,” Dmitriev wrote on X.

Petrol price pressures

The deal comes despite Ukrainian air strikes, which have taken more than half of the country’s oil refining capacity offline, according to claims made by Ukraine’s Ministry of Defence on Sunday.

The latest announcement comes a week after the G7 countries agreed to release 100 million barrels amid pressure from the White House.

The move also comes as prices of diesel, used in agriculture, heating homes and trucking goods, are near record highs ahead of the November 3 congressional elections that will determine control of Congress.

Diesel prices have been elevated in recent months but have started to decline. The average price for a gallon is $6.27 ($1.66 per litre), according to the American Automobile Association (AAA), which tracks daily petrol prices. That’s down $0.10 from this time last week, but up $5.94 from this time one month ago.

Diesel prices, which can drive inflation, are up 70 percent since the US and Israel’s war on Iran began this year, despite two high-profile recent moves by Trump to boost supplies of the fuel: pressuring allies ‌to release emergency reserves and expanding access to tax-exempt red-dyed diesel, which is normally used for farm equipment.

The wars in Iran and Ukraine have triggered an unprecedented global fuel supply crunch.