Global Diesel Shortage Runs Deeper Than Middle East Conflicts

The global diesel and jet fuel shortage is not just a result of the recent Iran war. According to analysis, a shortfall has existed since at least 2020.

This situation is more complex than most people realize. The economy needs to transform itself in a way that uses these fuels more sparingly. Research on extracting heavy oil and bitumen at lower cost is also needed to increase supply.

The price of diesel relative to gasoline will likely need to change, with the price difference being even greater than it has been in recent years because heavy oil is inherently more difficult to extract, refine, process, and transport.