Russian Deputy Prime Minister Alexander Novak detailed Russia's ban on diesel exports on July 8 during a government meeting chaired by President Vladimir Putin, stating that the aim was to boost domestic market supplies as the country's fuel crisis deepens. 

The ban is effective until July 31; unlike previous partial restrictions, this measure applies to producers as well as traders.

The crisis was sparked by Ukrainian drone strikes on major Russian refineries, with the Moscow refinery—which previously supplied about 40% of the fuel for the Moscow region—suffering particularly severe damage. Long queues have formed at gas stations across the country, and rationing has been implemented in over 20 regions.

Novak stated that Russia would begin importing fuel this month to bridge the domestic supply gap; shipments of gasoline from India have reportedly already begun. 

The formal ban mostly ratifies a decline that was already well under way. Russian seaborne shipments of diesel and gasoil had been falling for months, and June saw one of the sharpest drops yet—volumes fell by roughly 40% from the previous month. Turkey and Brazil continued to absorb the bulk of what Russia was still shipping out, while a handful of other buyers—Morocco, Egypt, and Senegal among them—picked up smaller shares.

Russia accounted for around 11% of global diesel supplies last year, and this ban has rattled a market already facing tight supply conditions. The move comes at a time of heightened market pressure, coinciding with the collapse of the US-Iran truce and renewed threats to energy shipments through the Strait of Hormuz.

Analysts anticipate that the ban may be a short-term measure, given the loss of export revenue Russia will incur; however, if refinery output fails to recover, the ban could be extended beyond July 31.