Russia extended its ban on diesel and gasoline exports through the end of January 2027, the government announced on Thursday, extending restrictions first imposed in 2025 as domestic fuel markets remain under pressure from refinery disruptions and inflationary trends.
The decision, published on the Russian government’s official portal, continues export curbs on both gasoline and diesel that were initially introduced to stabilize domestic prices after fuel costs surged in mid-2025. The extension signals that Moscow sees no near-term resolution to the structural imbalances affecting its fuel market.
Russia’s refining sector has been under significant strain from Ukrainian drone strikes on major refineries, which have knocked out an estimated 30 percent of capacity according to industry estimates. Several key facilities, including the Ryazan, Nizhny Novgorod, and Volgograd refineries, have suffered repeated attacks that have forced prolonged shutdowns.
The export ban primarily affects Russia’s ability to sell diesel and gasoline to international buyers, including traditional customers in Central Asia and Africa. Before the restrictions, Russia was one of the world’s largest diesel exporters, shipping approximately 1 million barrels per day at peak volumes. The curbs have tightened global diesel supplies and contributed to higher refining margins elsewhere.
Russian Energy Minister Sergei Tsivilev stated that the extension is necessary to ensure sufficient fuel supplies for the domestic agricultural sector ahead of the harvest season and to prevent price spikes that could fuel inflation. Domestic gasoline prices have risen approximately 15 percent year-on-year despite the export restrictions, highlighting the severity of the supply crunch.
The ban includes some exceptions for certain Eurasian Economic Union members and for companies that have received specific export licenses from the Energy Ministry. However, the overall volume of exempted exports remains limited, amounting to less than 10 percent of pre-ban levels according to trade data.
Analysts at the Oxford Institute for Energy Studies noted that the prolonged restrictions reflect deeper problems in Russia’s refining industry, including aging infrastructure, lack of access to Western refining technology and catalysts due to sanctions, and the ongoing impact of drone strikes on critical facilities.
The export ban extension comes as Russia’s oil and gas revenues have declined sharply, with the Urals crude benchmark trading at a persistent discount to Brent. The Finance Ministry has reported a 25 percent drop in oil and gas revenues for the first half of 2026 compared to the same period last year, compounding fiscal pressures on the Kremlin.
Sources: Reuters, OilPrice.com, AP News
Author: Russia Desk
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