Russia suspends export of homegrown gasoline, reasons revealed

“The decision was made to maintain a stable situation on the domestic fuel market during the period of high seasonal demand and agricultural field work,” the Russian government statement says.

It is expected that this ban will have a limited impact on the global oil products market.

According to data collected by Bloomberg, Russia’s gasoline exports typically amount to about 100,000 barrels per day. This is less than 2% of the total global maritime trade in this type of fuel.

The agency notes that the Russian government is trying to ensure sufficient fuel supply in the domestic market during the vacation period, when citizens travel extensively and farmers harvest crops.

Some key oil refineries in the country have been affected this year by attacks from Ukrainian drones, which forced a change in maintenance schedules.

These maintenance works may take longer than initially planned or their timing may shift due to delays in equipment deliveries caused by sanctions, Russian media reported, citing Energy Minister Sergey Tsivilyov.

Earlier, the Russian government had already stopped gasoline exports by companies that are not fuel producers.

Energy crisis in Russia

In recent months, Russia has faced an escalating crisis in its fuel and energy sector.

The cause is attributed to Western sanctions as well as regular attacks by strike drones on oil depots and refineries across the country.

The Ukrainian intelligence reported the possibility of a complete ban on the export of Russian-produced gasoline as early as the end of June.

Earlier, an urgent meeting was held in the Kremlin due to the growing fuel crisis in the country.

Additionally, British intelligence has announced a rapid increase in Russia’s budget deficit.