av 日本

av 日本What is Clean Diesel?


av 日本Share This Page



Policy

Energy Security

Due to current volatility in energy markets, DTF will provide periodic updates and background information regarding the price and availability of diesel fuel in U.S. markets. - June 5, 2020


The recent increase in liquid fuel inventories owing to the Coronavirus pandemic have placed the U.S. as a net crude oil importer.

Due to drop-off in demand for liquid fuels owing to COVID-19 and an increase in domestic inventories, the U.S. Energy Information Administration, in its revised , predicts a 12 percent fall in the price of on-road diesel fuel throughout 2020 before prices increase by 8 percent in 2021. This compares to a predicted 28 percent fall in gasoline prices in 2020 before the drop in gasoline moderated to just 2 percent in 2021.

 

Anticipated Prices Changes ($/gal) 
av 日本 SOURCE:  U.S. Energy Information Administration

 

2019

2020

2021

Gasoline

$2.60

$1.86

$2.16

Diesel

$3.06

$2.35

$2.51

 

av 日本On the supply side, the major input into both gasoline and diesel fuel is crude oil. While the U.S. has remained a net crude oil exporter over the past several years, increases in global crude oil production during the first quarter of 2020 has placed the U.S. as a net crude oil importer. As a result of expanded global production and a fall in U.S. demand for liquid fuels, inventories of gasoline and diesel products have increased. As the U.S. economy recovers, fuel suppliers are expected to draw down these inventories according to recent estimates from the .

Demand for Diesel Fuel: COVID-19 Impacts

av 日本As many states have eased shelter-in-place orders, personal travel and the resulting consumption of gasoline has begun to increase. As of May 22, 2020, consumption of gasoline has fallen by 22 percent relative to this time last year, according to the U.S. Energy Information Administration that tracks the weekly sale of petroleum products. As diesel is the fuel and technology of choice for the nation’s truck and off-road fleet responsible for the delivery of household items and medical supplies, the consumption of diesel fuel has moderated as well. For the week of May 22, 2020, the consumption of diesel fuel is roughly at the same levels as January 2020.


INRIX, a consultancy that tracks passenger and truck traffic, reports that passenger vehicle traffic in major metropolitan regions, has declined roughly 19 percent as of the week of May 16, 2020, while long-haul trucks responsible for moving household goods and medical supplies, has seen vehicle traffic decline by only about 4.6 percent.

Diesel and Gas Sales 6-5

According to the , the reduction in personal travel has contributed to a significant reduction in gasoline consumption while the fall off in diesel has been moderate. EIA predicts that both gasoline and diesel fuel consumption will rebound to 2019 levels over the next 18 months.

 Consumption of Motor Fuels

More

Policy Overview

Sign up for diesel direct

weekly analysis & commentary from the diesel technology forum