A 300,000-barrel shipment of Russian diesel is en route to New York, signaling a shift in supply dynamics that could pressure current prices of $6.30 per gallon.
The arrival of 300,000 barrels of Russian ultra-low sulfur diesel (ULSD) in New York on November 7 represents a new supply source that could alleviate current market tightness. Given that diesel prices are currently elevated at $6.30 per gallon, this influx of imported volume is likely to exert downward pressure on domestic pricing as supply constraints ease.
The shipment consists of approximately 40,000 metric tons, or about 300,000 barrels of ultra-low sulfur diesel.
The tanker is expected to arrive in New York on November 7.
The tanker Agioi Fanendes departed Primorsk carrying 300,000 barrels of ultra-low sulfur diesel destined for New York. This shipment marks the first direct delivery of Russian diesel to the U.S. following a bilateral agreement between President Trump and President Putin.
It represents the first tanker of diesel shipped directly from Russia to the U.S. under a new deal between the two nations.