Russia
Russian government halts diesel exports and slashes tariffs to counter severe seasonal fuel deficit
Russian Deputy Prime Minister Alexander Novak reported to President Vladimir Putin during a meeting with government members that while the cabinet has partially stabilized the domestic fuel market, altered logistics caused by refinery attacks and a sharp spike in seasonal demand continue to strain the sector.
Novak stated that attacks on Russia’s fuel and energy infrastructure damaged several oil refineries, leading to a temporary decline in gasoline and diesel production.
The drop in output has necessitated new shipment routes to deliver fuel to end-users, Novak said, adding that current demand is approximately one-third higher than during the same period last year.
The deputy prime minister noted that this situation has increased the burden on filling stations, raising the number of vehicles visiting the stations and leading to longer refueling times.
To balance the market, Novak recalled that the government and oil companies had previously taken a series of steps. Within this scope, gasoline exports were completely banned, and the production capacities of small and medium-sized refineries were utilized. Oil companies also maximized the capacity utilization of operating refineries, shortened maintenance periods, postponed planned maintenance to later dates, and released previously accumulated fuel inventories to the domestic market.
Government also halts diesel exports
Novak announced that the government banned diesel exports on July 8 as an additional measure.
Stating that oil product imports will be increased in July and the production of fuel with lower environmental standards will be expanded, Novak noted that the zero tariff on oil product imports was extended for another year to support imports.
Furthermore, Novak stated that the government reached an agreement with Russian Railways (RJD) to apply discounts on the rail transport of imported fuel. He also recalled that the mandatory exchange sale quota for gasoline was reduced from 15% to 10% and a price ceiling was imposed on the commodity exchange.
To secure the volume of fuel required by independent filling stations, Novak said that these operators have transitioned to direct contracts with oil companies, noting that this practice has been implemented in the Irkutsk Region and the Zabaykal Krai.
According to the information provided by Novak, independent filling stations previously purchased the bulk of their fuel from the commodity exchange or intermediary companies. Out of approximately 29,000 filling stations in Russia, 20,000 belong to independent operators.
Putin backs small refinery proposal
Zabaykal Krai Governor Alexander Osipov, who attended the meeting, proposed the establishment of a network of small-scale oil refineries across Russia.
Putin supported this proposal, stating, “In this area, the participation of small and medium-sized enterprises in the process is also necessary and encouraged. We will work more intensively on this matter.”
The Russian president also said that vertically integrated oil companies must supply products not only to their own stations but also to independent filling stations.
Putin instructed the government to make decisions regarding the subsidization of fuel prices in Crimea and Sevastopol “as quickly as possible.”
According to July 6 data from the Russian Federal State Statistics Service, the price of a liter of AI-92 gasoline in Crimea rose to 123.53 rubles. This figure represents an increase of approximately 50% on a weekly basis. The price of a liter of AI-95 gasoline rose to 170.59 rubles, increasing approximately 1.9 times, while the price of a liter of diesel reached 139.15 rubles, rising approximately 1.6 times.
In Sevastopol, the price of a liter of AI-92 gasoline rose by 8% to 105.47 rubles, the price of a liter of AI-95 gasoline increased by 15% to 148.64 rubles, and the price of a liter of diesel rose by 8.5% to 150.49 rubles.
Across Russia, in the week of June 30 to July 6, the price of a liter of AI-92 gasoline increased by 2% to 70.21 rubles, and the price of a liter of AI-95 gasoline rose by 2% to 76.19 rubles. The price of a liter of diesel reached 87.76 rubles, representing a 3% increase.
Since the beginning of the year, gasoline prices in the country have risen by 14%, while diesel prices have increased by 15%.
At the end of June, local governments in various regions of Russia introduced different restrictions on fuel sales to prevent panic buying.
Putin said on June 28 that there was a fuel deficit in the domestic market, but it was not at a critical level. Holding a meeting on the oil products market on the same day, Putin requested the preparation of additional measures to guarantee the uninterrupted supply of fuel to citizens, businesses, and socially critical institutions.
According to Sergey Tereshkin, General Director of Open Oil Market, the main reason for the spike in fuel demand is concern over potential supply shortages. Tereshkin said that consumers have increased both retail and wholesale purchases out of concern that access to fuel may become more difficult in the coming weeks and months.
Dmitry Kasatkin, Partner at Kasatkin Consulting, stated that the fuel shortage stems from a combination of altered logistics, local supply disruptions, and panic buying driven by high seasonal demand. He noted that demand for gasoline and diesel has increased not only in the retail market but also in the small and medium wholesale market.
According to Kasatkin, banning exports, postponing refinery maintenance, operating existing facilities at higher capacity, and releasing inventories into the market are among the most effective measures to increase domestic supply. However, he emphasized that delivering fuel to regions where the shortage is felt most acutely is also of critical importance.
Kasatkin said that increasing gasoline imports, RJD transport discounts, and production increases at small and medium-sized refineries are also important supporting steps, but their success will remain dependent on resolving logistics issues.
Tereshkin argued that the most critical steps are halting oil product exports and increasing fuel imports. Igor Yushkov from the Financial University under the Government of the Russian Federation assessed that increasing gasoline imports and the production of fuel with lower environmental standards would be the most effective measures.
Mikhail Burmistrov, General Director of Infoline-Analitika, said that RJD can apply discounts on certain routes, which will encourage the transport of additional cargo on the railway network.
However, Burmistrov stated that due to the limited capacity of unloading and loading terminals on the railways, the volume of these shipments should not be overstated, adding that the bulk of imported fuel will be transported by road.
Kasatkin predicts that partial stability could be achieved in the Russian fuel market during July. However, in his view, establishing a permanent balance between supply and demand, easing panic buying, and rebuilding inventories may take until late August or early September. He warned that local fuel shortages could occur in some regions until that date.
According to the analyst, if the measures taken by the government prove effective, price increases at filling stations may slow down in the coming weeks. Conversely, even if the market stabilizes, fuel prices are not expected to return to their former levels.
Russia
Russia relaxes diesel export curbs after talks with Trump
Russia has announced that it will ship 500,000 tonnes of diesel fuel to the global market under a partial lifting of its diesel export ban, enacted as part of measures concerning the Ukraine crisis and energy markets.
A statement from the Russian government said the decision was implemented in accordance with understandings reached between Russian President Vladimir Putin and US President Donald Trump.
Under the decision, which came into effect on 10 October, an initial phase of 500,000 tonnes of diesel fuel will be supplied to the global market.
“Following the rescinded decision, Russian oil companies, in coordination with the government, will immediately begin signing diesel fuel supply contracts with foreign business partners,” the government statement said.
Assessing the matter, Deputy Prime Minister Aleksandr Novak stressed that the decision would not affect the interests of Russian consumers.
Noting that diesel fuel is produced from Russian crude at domestic refineries, Novak stated that production volumes are sufficient both to meet all domestic market requirements in full and to ship the specified quantities to the global market.
The ban on diesel fuel exports in Russia was initially put into effect on 31 January 2026, covering only non-producing companies.
The government tightened the restrictions on 9 July by expanding them to include direct producers. Previously announced to remain in place until the end of October, the ban was partially relaxed in light of current developments.
Vladimir Putin and Donald Trump held a telephone conversation on 9 October. Following the call, US President Trump announced that an agreement had been reached on the supply of Russian diesel.
Trump said Russia had agreed to send more than 300,000 tonnes of fuel to American and global markets in the initial phase, 500,000 tonnes in November, and 1 million tonnes thereafter.
Trump also stated that an additional shipment of 3 million tonnes could follow at a later stage, adding that they expect this agreement to reduce diesel fuel prices rapidly.
Following the conversation, the US Department of the Treasury, on Trump’s instructions, issued a temporary general licence exempting Russian diesel fuel transactions and shipments to the US—previously prohibited under sanctions—until 7 April 2027.
Putin, in a statement after the call, confirmed Russia’s readiness to supply crude oil and petroleum products to American and global markets, noting that this would have a positive impact on the world economy.
Putin also noted that the two leaders discussed prospects for resolving the conflict in Ukraine, the situation surrounding Iran, and bilateral relations, agreeing to maintain contacts through presidential envoys, intelligence agencies, and other institutions.
A statement issued by Novak’s office after the call said Russia was prepared to ship diesel to the US within October.
Novak stated that export volumes could be increased in November and December as refineries emerge from scheduled maintenance.
Novak also conveyed that Moscow views positively Washington’s steps towards stabilising the global energy market and normalising energy trade.
Russia
Drone strike shuts down Yandex data centre in Russia’s Ryazan region
A drone strike has hit a data centre belonging to Russian internet company Yandex in the town of Sasovo, located in the Ryazan region.
The company announced that a fire triggered by the attack damaged part of the infrastructure and resulted in a complete shutdown of the facility’s operations. No casualties or injuries were reported in the incident.
In a statement, Yandex said competent authorities and relevant teams were working at the scene to remediate the damage.
Owing to the facility being knocked offline, it was noted that some of the company’s online services might temporarily become inaccessible to users.
The company provided no details regarding the financial scale of the damage or when the data centre would be brought back into service.
Shares slide, cloud infrastructure curbs introduced
Following the developments, Yandex shares fell by more than 3.4% as of 10:10 Türkiye time.
A drone threat alert was reportedly communicated to residents of the Ryazan region at 23:48 on the night of 7 October, with the alarm lifted at 02:46 on the morning of 8 October. The facility in Sasovo had commenced operations in 2014.
In an advisory issued via the Yandex Cloud Alerts channel, it was reported that power issues were occurring in the system’s “ru-central1-b” availability zone.
The company stated that efforts to transfer data workloads to other availability zones had been completed and that services in other zones continued to operate normally.
However, it was noted that temporary restrictions could be imposed on the creation of new resources within the cloud infrastructure. According to data from outage-monitoring platform Downdetector, an increase in user complaints concerning Yandex, Yandex Cloud, and the real estate platform CIAN was recorded on the morning of 8 October. Reports were observed to have originated predominantly from Moscow and surrounding regions.

Data centre targeted for first time after logistics warehouses
Whether the attack directly targeted the data centre remains unconfirmed. Nevertheless, as of 8 October, this went on record as the first drone strike directed at data centres in Russia.
Beginning in the summer months of 2026, warehouses belonging to Russia’s leading e-commerce platforms had faced drone attacks.
Fires at several warehouses owned by the company Wildberries caused hundreds of billions of roubles in losses for sellers, after which logistics centres belonging to the company Ozon were also targeted.
Both companies amended their contractual terms, shifting liability for damages arising from attacks onto sellers.
Yandex facilities had previously experienced a widespread outage on 30 March 2025 due to a transformer failure, which temporarily disabled services including Yandex Cloud, Yandex Music, and Yandex Lavka.
Russia
US and Russian figures discuss American stake in Nord Stream lines
Senior officials from Russia and the US have reportedly discussed involving an American investor in the Nord Stream natural gas pipelines.
According to a report by the Reuters news agency based on five sources, those taking part in contacts included Kirill Dmitriyev, head of the Russian Direct Investment Fund (RDIF) and the Russian president’s special representative for investment and economic cooperation with foreign states, and Jared Kushner, son-in-law of the US leader.
Two sources providing information on the scope of the discussions said that while it remains unclear how detailed the consideration of the Nord Stream topic was, the matter nevertheless remains on the agenda.
Kushner reportedly views business-oriented cooperation as an instrument in initiatives aimed at ending the war in Ukraine.
A potential agreement could reportedly offer US investors an opportunity to profit from energy shipments to Europe once the war ends.
White House states no recent contacts have taken place
A White House official told Reuters that no negotiations regarding Nord Stream have been conducted recently.
The official emphasised that any agreement with Russia would require approval from the US International Development Finance Corporation (DFC) and the US Department of the Treasury, adding that such steps must yield benefits for US taxpayers and companies.
Another US official described reaching an understanding in the medium term as unlikely due to existing obstacles.
The natural gas pipelines are subject to US and European Union sanctions. A spokesperson for the German Federal Ministry for Economic Affairs and Energy stated that the approval of the German federal government is mandatory for the pipelines to be brought back into service, adding that the Berlin administration does not support such a step.
The spokesperson also recalled that Germany has secured alternative supplies to Russian gas.
The ownership structure of Nord Stream also features among the issues complicating the ground for negotiations.
In the consortium operating the project, Russian energy giant Gazprom holds a 51% stake, while the combined share of two German partners stands at 31%.
The remaining shares are held by France- and Netherlands-based companies.
A source speaking to the agency stated that the German partners wish to retain their stakes in order to preserve their influence in the project should Gazprom’s shares be sold.
What had American investor Lynch proposed?
The concept of involving a US financier in the Nord Stream projects had also surfaced in 2024.
American investor Stephen Lynch, founder of Monte Valle Partners, who conducted commercial activities in Russia for 20 years, had applied to the US administration for a licence allowing him to bid if the Nord Stream 2 pipeline were put up for auction.
Lynch described this potential move as an opportunity to keep Europe’s energy supply under control until the fossil-fuel era ends, as well as leverage against Russia in peace negotiations.
The Alternative for Germany (AfD) party described the possibility of transferring the pipeline to Lynch as an illustration of the German government’s irrational policy.
Separately, The New York Times (NYT) reported earlier this month that Ukraine-related contacts between Russia and the US were expanding to include a multi-billion-dollar oil deal covering Lukoil’s foreign assets.
The assets in question included Lukoil’s refineries in Eastern Europe as well as filling stations in the US.
NYT sources reported that discussions in this framework were also addressed during a meeting between Russian President Vladimir Putin, Steven Witkoff, and Kushner.
The sabotage of the Nord Stream pipelines took place in September 2022, with three of the four lines damaged by explosions.
One string of the Nord Stream 2 pipeline, which had not yet been commissioned at the time, remained intact.
The Federal Security Service of the Russian Federation (FSB) classified the incident as an act of international terrorism, while Putin claimed that “Anglo-Saxons” were behind the attack.
In investigations into the incident, judicial proceedings were pursued against several Ukrainian citizens, including professional diver Vladimir Juravlyov, suspected of planting explosives off the island of Bornholm, and Sergey Kuznetsov, who allegedly skippered the yacht Andromeda.
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