French Strikes Hamper Diesel Deliveries, Leave Europe With More Supply

The industrial action in France in recent weeks has left the wider European market better supplied with diesel than it might otherwise have been in the short term, as a result of heavy disruption to French imports caused by striking dock workers.

• In total, only around 780,000t of diesel and gasoil discharged in France in the first three weeks of March, compared with 1.12mn t in February as a whole and 1.76mn t in January according to Argusmedia.
• Dock workers at the Fos-Lavera port complex will continue to strike until at least 24 March. Diesel cargoes cannot be unloaded for the time being. Only around 5,000t of gasoil has arrived at Fos-Lavera this month, according to Vortexa. Last year, the port received on average 360,000 t/month.
• The current knock-on effect on domestic diesel consumption in France due to strikes in several sectors is helping to offset the disruption to refinery production.
• Crude runs in France are currently 840kbpd lower than normal because of refinery strikes according to FGE.