The United States told Europe on Thursday to cooperate with Washington on efforts to lower diesel prices while a top European official said a US export ban of the fuel would be “unexpected for Europeans.”
“It is in Europe’s best interest to work with the United States as we pursue multiple pathways to boost the supply of refined products and lower costs for consumers,” a US official told AFP.
Reports said the Trump administration wanted France and Germany in particular to tap their strategic reserves of diesel to try to curb prices sent soaring by the US-Israeli war on Iran. High energy costs loom as a threat to Trump’s Republican party in next month’s midterm elections.
Trump on Wednesday said he was still considering a possible ban on US diesel exports, while adding that he thought it could ultimately cause gasoline prices to rise.
“I’m thinking about it,” Trump told reporters in the Oval Office.
EU trade chief Maros Sefcovic told reporters Thursday that any moves on a US export ban on diesel would be “unexpected for Europeans,” in comments after he spoke with US counterpart Jamieson Greer.
“It would have very dramatic consequences for our economic performance. And we clearly decided to stay in close touch to avoid any surprises here,” Sefcovic said on the sidelines of G20 talks. But he added that both sides did not go into detail on energy exports.
Speaking alongside Trump, US Energy Secretary Chris Wright said on Wednesday that the world would “hear announcements from our friends in Europe” to push diesel prices down.
Asked about a release from strategic reserves, the French presidency said no such demand had been made when Emmanuel Macron and Trump met on the sidelines of the UN General Assembly last week.
Macron would also soon convene a video meeting of G7 leaders “to make progress on the various levers that can be used to address the rising fuel prices… including coordination on releasing reserves.”
Macron announced on September 18 a plan for such a meeting. The G7 gathering is expected in mid-October, according to Macro’s press office.
Average US diesel prices have surged to $6.39 a gallon from $3.70 a gallon a year ago.
Fuel prices have caused living costs to soar, leaving Trump’s Republican Party fearing it could lose control of Congress in November’s midterm elections.
