G7 nations will release 100 million barrels of oil and diesel fuel after
prices soar
[October 03, 2026] By
COLLIN BINKLEY and JOHN LEICESTER
WASHINGTON (AP) — The Group of Seven wealthy democracies said Friday
that they plan to release 100 million barrels of oil and fuel products
in the coming weeks, starting with “substantial” amounts of diesel after
the fuel recently hit record high prices in the United States.
President Donald Trump said the diesel release would happen
“immediately,” echoing a G7 promise to start “immediately” with a
“frontloaded substantial release” of diesel within the next 20 days and
the rest over four months.
Trump and his Republican Party face pressure to address surging prices
ahead of the Nov. 3 midterm elections, and Trump announced the action
Friday on social media. The president's approval ratings on the economy
hit a new low, according to an AP-NORC poll, as the Iran war and his
trade battles have increased U.S. prices for oil and other goods.
Gas prices in the U.S. and abroad have soared during the
eight-month-long war, a cost Trump has repeatedly said is worth it for
making sure Iran does not obtain nuclear weapons. The national average
for a gallon of diesel in the U.S. was $6.37 on Friday, according to
AAA, after hitting a record $6.52 on Sept. 22. Diesel prices have hit
records in Europe, too.
The release of diesel in Europe might mean less exports of diesel from
the U.S., which could lower prices by 25-50 cents per gallon after a few
weeks, said Michael Lynch, distinguished fellow at Energy Policy
Research Foundation, a non-partisan research institution focused on
energy and economics.
Macron says the decision should bring down prices
France holds the rotating presidency of the G7 group and made the
announcement in a statement released after videoconference talks that
Macron presided over. The G7 countries are Canada, France, Germany,
Italy, Japan, the U.K. and the U.S., plus EU representation.
The release follows on from a March announcement that International
Energy Agency member countries would release 426 million barrels of oil
and products to stabilize the oil market. European Union countries
committed about 92 million barrels, a promise weighted toward refined
products made from crude such as diesel.
“This common decision and this unity should bring down prices,” Macron
said. “The volumes we’re releasing should also add liquidity to the
market and bring down prices.”
In addition to the rise in the price of the crude oil from which diesel
is made, other factors include the decision by Russia to ban exports due
to Ukrainian drone strikes on its refineries. Europe does not import
Russian diesel, but other buyers of Russian diesel such as Turkey and
Latin American countries must now compete with Europe for available
barrels.
Meanwhile refined product shipments from the Persian Gulf producers have
fallen due to war damage and blocked export routes.
The statement pushed U.S. oil prices down 2% but “the impact was
lessened by lack of clarity on an important question,” said Pavel
Molchanov, investment strategy analyst at Raymond James. Is the 100
million barrels in addition to the amount already agreed in March, or
“is this the final portion of the existing pledge?” he said.
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President Donald Trump boards Air Force One at Joint Base Andrews,
Md., Friday, Oct. 2, 2026, en route to Alabama. (AP Photo/Jacquelyn
Martin)
 The G7 says export bans are off
the table
Some Republicans in the U.S. had called for Trump to ban U.S.
exports of diesel to try to bring domestic prices down. But the G7
statement said the group agreed not to limit energy exports to each
other. Oil market analysts warn a U.S. export ban could lower prices
in the short term but eventually backfire by reducing supplies of
gasoline since diesel output can't be lowered without also cutting
overall refinery production.
Asked about a potential U.S. export ban on Friday, Trump said “we
were never going to do it.”
“We’re not going to be doing the export ban,” Trump told reporters
at the White House. “We’re going to be doing what we’re supposed to
do.” He added that Europe is making “a major world contribution, and
so are we.”
Experts say there are risks in the strategy
The emergency release could also be a short-term fix with the
potential to do long-term harm, said Jim Krane, energy research
fellow at Rice University’s Baker Institute.
“Draining stocks will reduce retail fuel prices for a while, at the
cost of leaving Europe with less emergency cover,” Krane said. “At
some point in the future Europe and the rest of the G7 will have to
refill their strategic reserves. Normally they try to do this when
prices are low. Nobody knows when that will happen. It’s a risk.”
With two wars raging that involve attacks on refineries and exports,
“it’s not the best time to be frittering away your emergency stocks
-- especially when there is no visibility on future prices or peace
agreements,” Krane said.
Trump had a conversation overnight with Macron about the need to
address rising fuel prices and the availability of petroleum
products, according to the French Embassy in the U.S. Macron on
Friday then chaired the videoconference of G7 leaders to discuss the
issue.
Besides his call with Macron, Trump on Friday called in to the
meeting with the G7 leaders to negotiate the release of the European
diesel stockpiles, according to a White House official who was not
authorized to speak publicly and spoke on the condition of
anonymity.
Trump on Thursday embarked on what he said would be a 32-day
marathon of rallies to try to bolster his party's chances for
keeping control of the U.S. House and Senate in the November
elections. The president has grown increasingly frustrated with what
he sees as a disconnect between his achievements and the public’s
view of his work. This week he gave himself an A-plus for his work
on the economy but said “we’re doing an extremely poor job of
promotion.”
___
Leicester reported from Paris. AP writer Michelle L. Price
contributed to this report. AP Business Writer David McHugh
contributed from Frankfurt, Germany and Cathy Bussewitz contributed
from New York.
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