Fuel company issues diesel shortage alert for the southeast

https://www.msn.com/en-us/money/markets/fuel-company-issues-diesel-shortage-alert-for-the-southeast/ar-AA13xZqO

Published by markskidmore

Mark Skidmore is Professor of Economics at Michigan State University where he holds the Morris Chair in State and Local Government Finance and Policy. His research focuses on topics in public finance, regional economics, and the economics of natural disasters. Mark created the Lighthouse Economics website and blog to share economic research and information relevant for navigating tumultuous times.

2 thoughts on “Fuel company issues diesel shortage alert for the southeast

  1. This is a tale of many things, greed, lies, deception and fear… always fear.

    Primary question “Is there a real diesel shortage?”
    Secondary question “Is U.S. diesel being exported causing a shortage domestically?”

    I don’t have access to refiners documents etc., but these contrasting headlines five months apart tell the story.

    U.S. Fuel Exports Are Draining Domestic Diesel And Gasoline Supplies By Michael Kern – May 02, 2022, 5:30 PM CDT

    So in May we have exports labeled as a cause.

    The US Diesel Crisis Is Here and It’s Spreading Along the East Coast
    Prices spike in areas with delivery delays and truck shortage
    Supplier requires 72-hr notice for fuel delivery in Southeast By
    Chunzi Xu October 25, 2022 at 5:11 PM EDT

    Now five months latter at the end of October, no word about exporting Diesel but only a “supply shortage”

    I can say from experience as I seen this before, the exporting is still going on because of the price arbitrage in favor of shipping to Europe. Here is a chart that will show most EU countries are paying double the US cost of USLD @ 4.53 gal. (look to the bottom of chart. https://www.globalpetrolprices.com/diesel_prices/Europe/)

    So What Does “Diesel Shortage” Really Mean?
    As Mansfield says “High prices will bring demand back down enough that it balances with limited supply”…”That’s not to say there won’t occasionally be situations where there is a true physical lack of products”

    We as people have again been played by corporate profits with a media working with the corporate agenda.

    Enjoy your new knowledge when you watch your news …..

    Source Code:
    https://oilprice.com/Latest-Energy-News/World-News/US-Fuel-Exports-Are-Draining-Domestic-Diesel-And-Gasoline-Supplies.html
    https://www.bloomberg.com/news/articles/2022-10-25/the-us-diesel-shortage-is-rapidly-devolving-one-supplier-says?leadSource=uverify%20wall
    https://www.globalpetrolprices.com/diesel_prices/Europe/
    https://mansfield.energy/market-news/what-does-diesel-shortage-really-mean/

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