AFPM

Sharing a few more perspectives on why a diesel export ban would be a costly mistake (the fact we have so many of these to share tells you all you need to know about why an export ban would backfire).

Click the link in the comments to read the full article.

According to energy consulting firm Wood Mackenzie’s analysis, a diesel export ban would “raise gasoline prices on the US east coast by about 15%, relative to our base case. That translates to an increase of about 26 US cents a gallon, pushing US gasoline prices towards record highs.”

Why would a diesel export ban backfire? It would:

1. Reduce fuel production
2. Weaken U.S. energy security
3. Help foreign competitors
4. Risk retaliation

A diesel export ban may sound like a way to lower fuel costs.

It won’t.

It could actually raise gasoline prices.

Blocking diesel exports would eventually force refiners to cut fuel production overall, including gasoline, putting upward pressure on prices and increasing America's reliance on imported fuel.

92% of U.S. renewable diesel and sustainable aviation fuel operational production capacity is owned by petroleum refiners. AFPM members are helping driving progress in renewable fuels by:

➡️ investing in new capacity
➡️ upgrading facilities
➡️ scaling advanced technologies to meet growing demand

We’ve previously shared perspectives from experts, analysts, reporters and even some current (and former) administration officials on why a diesel export ban would be a grave mistake.

Here are even more perspectives:

From the Houston Chronicle: "...the president has proposed a ban on diesel exports. The Gulf Coast exports roughly 1 million barrels of diesel per day — making us the largest international supplier on the planet. Shutting that down would undermine our oil and gas industry and likely do little to actually help farmers, truckers and other industrial consumers who rely on the fuel."

Here’s a stat we bet you didn’t know: 86% of total U.S. renewable diesel and sustainable aviation fuel operational production capacity belongs to AFPM members.

NEWS: Today, we joined more than 30 U.S. business, energy and manufacturing groups from around the country in issuing a letter to President Trump urging him to reject calls to institute any kind of fuel export ban or limit.

Signatories to the letter included the American Exploration & Production Council, The American Petroleum Institute, Business Roundtable, Independent Petroleum Association of America, ILTA International Liquid Terminals Association, Liquid Energy Pipeline Association, National Association of Manufacturers and U.S. Chamber of Commerce.

An excerpt from the letter: