Belgium Could Tighten Fuel Export Quality from March: Reuters

The Belgian government is aiming to pass a law tightening the fuel quality from H2 March, as it targets the trade of low-quality gasoline and diesel sold from NWE to WAF, Reuters said.

• The law - mirroring legislation passed in the Netherlands in April 2023 - would cap sulphur content at 50ppm, one third of Nigeria’s current import specifications.
• There are concerns the law could hamper ARA gasoline exports to WAF, the region which took 28% of Europe’s gasoline exports according to Argus.
• In Q1 2023, 42% of exports to WAF were from Dutch ports and 30% from Belgium. That flipped to 48% from Belgium and 21% from the Netherlands in post-ban 2023.
• Argus said that demand from WAF could be met by arrivals other European jurisdictions, such as Gibraltar or Algeciras.
• However, the start-up of Nigeria’s Dangote refinery was already expected to reduce WAF’s demand for European gasoline.