G7 agrees to release 100 million barrels of oil and diesel to ease price spikes

G7 leaders agreed Friday to a coordinated release of 100 million barrels of oil and diesel over four months through the International Energy Agency, aiming to cool surging fuel prices tied to the Iran war and disruption around the Strait of Hormuz.

In a joint leaders’ statement posted by the Prime Minister’s Office, the United States, Canada, France, Italy, Germany, Britain and Japan said the release begins immediately, including a front-loaded “substantial diesel release” within the first 20 days, with a further IEA meeting soon on whether more diesel is needed. The statement did not split the 100 million barrels between crude and diesel. Leaders also pledged to coordinate refinery maintenance to avoid simultaneous shutdowns, urged higher refined-product output where feasible, reaffirmed a commitment not to restrict energy exports among G7 members, and condemned Iran’s attacks and interference with Hormuz navigation while maintaining sanctions on Russia.

Financial Post reports the move comes as Canadian retail diesel has climbed to record highs of up to $2.75 a litre, prompting trucker protests, with average gasoline around $1.72 a litre per CAA data. The paper notes U.S. President Donald Trump has previously threatened a ban on U.S. diesel exports, which analysts warn would tighten global supplies further. The IEA is asked to deliver a follow-up report within 20 days on impacts and replenishment options.

This article is for general information only and is not investment advice. Sources: Prime Minister of Canada / G7; Financial Post.