The G7 group of advanced economies has agreed to release 100 million barrels of oil and diesel. This coordinated action aims to ease supply pressures that have led to soaring prices and to prevent a threatened ban on US diesel exports.
The release, which will include a substantial amount of diesel, is expected to occur within four months under the coordination of the International Energy Agency (IEA). French President Emmanuel Macron stated that the action would "bring down the prices of petroleum products, particularly diesel."
President Donald Trump had previously threatened to ban US diesel exports if European countries did not increase their own market supplies. Following a meeting of G7 leaders, member countries have now agreed to "refrain from export restrictions on energy and energy products" on one another.
The UK Foreign Secretary, Ed Miliband, who represented the UK at the meeting, said the measures would "stabilise energy supplies, build resilience in supply chains and shield households and businesses from price shocks." Avoiding a US export ban is expected to offer relief to countries reliant on imported fuel, including the UK, where pump prices reportedly topped £2 a litre on Friday.