International: Russia reinstates gasoline export restrictions starting August

Starting August 1, Russia will reimpose restrictions on gasoline exports, as announced by Alexander Novak, the Russian Deputy Prime Minister responsible for energy, in statements to local media. This measure aims to stabilize the domestic market and ensure adequate fuel supply to meet national demand.

The embargo, initially lifted for the month of July, will automatically resume in August. « We have adopted an embargo until September 1. An exception was made for July. From August 1, the ban on exporting petroleum products is automatically reinstated, and this applies to gasoline « , Novak explained.

The Russian government is currently reviewing the Energy Ministry’s proposal to extend this ban through September and October. « If we find that extending the gasoline export ban is indeed necessary for September and October, then that decision will be made in August « , Novak noted. The decision will depend on the balance between supply and demand and the state of domestic market supply.

In May, the government had temporarily lifted the gasoline export ban until the end of June, stating that the domestic market was sufficiently supplied. Previously, in March, Russia had imposed a six-month ban on gasoline exports to stabilize prices during a period of increased demand, related to spring work and refinery repairs. This ban excluded the Eurasian Economic Union (EEU), Mongolia, and Uzbekistan.

A similar measure was taken from September to November 2023 for the same reasons. The ban was lifted after market saturation and the accumulation of surplus stocks.

The decision to reimpose restrictions on gasoline exports highlights the Russian government’s priority of ensuring a stable and affordable fuel supply for its citizens.