Global Refinery Disruptions Send Crack Spreads Soaring

Crack spreads for gasoline and distillate fuel oil have been elevated since May due to tight supplies globally, particularly in Russia, China, and the Middle East.

The gasoline crack spread in New York Harbor has averaged about $1 per gallon higher than in 2025 when it peaked at around 60 cents per gallon. Gasoline supplies are tight because of disruptions to global refining activities.

Tighter global supplies have increased the cost of imported gasoline and boosted demand for gasoline exports from the United States, which relies on imports to supplement local production. U.S. refiners have shifted product yields to maximize production of distillate and jet fuel due to higher cracks in these markets.