Road Fuel Sales Jump in U.K. After Russia’s Ukraine Invasion

(Bloomberg) --

Sales of petrol and diesel in the U.K. soared in the days after Russia invaded Ukraine, but remained much below levels seen during the country’s domestic fuel crisis last year. 

Average fuel sales per filling station were up about 30% on pre-pandemic levels on Feb. 25, according to data from the U.K. government. Those figures combine sales of gasoline and diesel. While that is a notable surge, it is smaller than during the petrol crisis that gripped the country just months ago and buying appears to have calmed down again. 

In September, a shortage of truckers combined with an enormous jump in demand meant that U.K. fuel stations ran dry as stocks plummeted. In late February, gas stations saw stock levels fall to below 40% of capacity, though the lower demand in subsequent days could have meant a speedy recovery. 

Retail prices in the U.K. have climbed to record levels in recent days, accentuating a cost-of-living squeeze. Fuel supplies elsewhere in Europe are also showing signs of pressure. In Germany, Shell Plc is limiting sales of heating oil to some wholesalers so that the company can continue to meet contractual obligations. 

Diesel markets have gotten stronger in recent days on signs that supply is growing increasingly tight.Traders are willing to pay more than $90 a ton to secure immediate supply rather than wait a month, according to ICE Futures Europe data.

In the U.S., average gasoline prices are closing in on a record. 

©2022 Bloomberg L.P.