Russia Lowers Fuel Standards, Expands Subsidies as Diesel Prices Jump More Than 40%
Updated
Updated · Meduza · Jun 25
Russia Lowers Fuel Standards, Expands Subsidies as Diesel Prices Jump More Than 40%
3 articles · Updated · Meduza · Jun 25
Summary
Russia is extending emergency fuel measures after Ukrainian refinery strikes and panic buying pushed the gasoline crunch into an acute phase, with regions capping purchases and some stations halting AI-95 sales or banning container fills.
Euro 3 gasoline and diesel—allowed again instead of Euro 5—can contain up to 150 milligrams of sulfur per kilogram versus the usual 10, a trade-off Moscow hopes will lift output despite higher engine wear.
Officials also want refineries to cut mandatory exchange sales of gasoline from 15% to 10% and to widen the damper subsidy so imported fuel can be sold domestically, even though the mechanism already costs about 200 billion rubles a month.
Diesel is emerging as the bigger economic threat: exchange prices have risen more than 40% since late April, raising fears for the harvest, while airline Azimuth says jet-fuel deliveries were cut by about a third and airport prices are up more than 17% since early June.
The crisis underscores how vulnerable Russia's fuel market remains to continued Ukrainian strikes, leaving Moscow to choose between costly intervention, possible export curbs, and broader pressure to seek at least a temporary easing of the war.
Will Russia's switch to low-quality fuel cause long-term damage to its own domestic vehicles and industries?
Why is a top oil exporter like Russia now forced to import gasoline from its own customers?
How have Ukrainian drones bypassed Russian air defenses to cripple over 20% of its national refining capacity?
Russia’s 2026 Fuel Crisis: Impact of Ukrainian Drone Strikes, Economic Fallout, and Emergency Measures
Overview
Since late April 2026, Russia has faced a severe fuel crisis caused by Ukrainian drone strikes on its oil refineries. These attacks have badly disrupted refining capacity, leading to major shortages of gasoline and diesel across the country. As a result, consumers are dealing with sharp price increases and long lines at gas stations, while local authorities have had to introduce strict fuel rationing. In response, the Russian government has launched emergency measures, including prioritizing fuel deliveries to the most affected regions, in an urgent effort to stabilize the situation and support essential services.