Road fuels
Overview
Fuels for road transportation continue to drive the refining industry. But gasoline and diesel use is coming under increasing pressure from the introduction of low-carbon targets around the world.
Global oversupply, new regulatory measures and rapidly increasing competition for export markets are affecting refining margins. The need for accurate insight and data is more critical than ever.
Argus road fuels coverage includes price assessments and key insights into conventional fuels — gasoline, middle distillates and blending components — as well as biofuels, in each key region. Our trusted prices are delivered alongside the latest market-moving news, in-depth analysis, supply and demand dynamics, price forecasts and forward curves data.
Latest road fuels news
Browse the latest market moving news on the global road fuels industry.
French E85 gasoline demand at record high in April
French E85 gasoline demand at record high in April
Barcelona, 16 June (Argus) — Demand for E85 gasoline in France rose to a record high in April, as customers switched from more expensive grades because of the effects of the US-Iran war. Data from industry body Bioethanol France show consumption of the 85pc ethanol blend, which is used in flex-fuel vehicles, increased to 69,000t, from 58,000t in March. This was 15pc higher on the year. Its 6.5pc share of French gasoline consumption was the most since February 2024. Demand for the grade was higher by 43pc since the start of the war at the end of February. There was a similar increase in February-March 2022, when Russia launched its full invasion of Ukraine (see chart) . Since February, French gasoline prices have risen sharply to around €1.98/litre and as high as €2.15/l in rural areas. E85 is around €0.85¢/l. Supportive of longer term E85 demand, some vehicle owners are switching permanently by installing a component that converts a gasoline car to run on E85. French garages and mechanics have reported sharp increases in conversions since the start of the war. Others are choosing to run E85 either neat or more often blended with gasoline, an approach that risks some engine corrosion, as well as potential insurance invalidation. E85 accounted for around 48pc of French fuel ethanol consumption in April. Data from Bioethanol France and Argus calculations show ethanol demand in April — including oxygenate ETBE — at above 140,000t, up by 4pc on the year and from 130,000t in March. Demand in the first quarter was 505,000t, up by 2pc on the year. In April, 10pc grade E10 sales were 615,000t, up by 1.2pc on the year for a 61pc share of total gasoline sales. Sales of premium grade SP98 — that contains 1pc ethanol and up to 15pc of oxygenate ETBE, which can contain 47pc ethanol — were 205,000t, down by 3.5pc on the year. Demand for 5pc SP95 fell by 13pc on the year to 120,000t. This meant E85 sales equated to 57pc of SP95, easily the highest on record. Overall ethanol consumption equated to an estimated calorific share of 9.1pc in April, a three-year high. France is likely to be meeting its blending goal of 9.9pc using ethanol made from double-counted feedstock, with energy ministry figures suggesting this is the case. By Adam Porter E85 demand vs gasoline price '000t Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Brazil waste oil mandate could raise biodiesel costs
Brazil waste oil mandate could raise biodiesel costs
Sao Paulo, 11 June (Argus) — The mandatory use of waste oils and fats (WOFs) in the production of biodiesel in Brazil is likely to raise product costs, considering the limited supply of these raw materials and competition from products with higher added value, such as sustainable aviation fuel (SAF) and hydrotreated vegetable oil (HVO). In May, Brazil's mines and energy ministry MME published a decree mandating the use of 1pc WOFs in the production of biodiesel, SAF and HVO starting 1 January 2028. Until then, the use of these raw materials is voluntary. Per the decree, the minimum percentage of WOFs will be reviewed every three years, based on factors such as the available quantity of the raw material, advances in traceability mechanisms, the expansion of collection infrastructure and increased pretreatment capacity. In Brazil, the market for used cooking oil (UCO) — one of the main types of WOFs — remains unregulated and lacks consolidated official data. Estimates of collection levels in the coming years vary widely, with projections ranging from 500,000 metric tonnes (t)/y to 2mn t/y, according to market participants. In 2025, biodiesel production used approximately 100,000t of UCO. When soybean oil prices are high, WOFs serve as an important alternative feedstock for biodiesel production, especially for non-vertically integrated plants. In 2025, for example, the average price of UCO fob Sao Paulo, with 3.5pc acidity was R5,438($1.051)/t. The price of soybean oil cif Sao Paulo stood at R5,808/t during the same period, according to Argus indicators. The mandatory use of WOFs may alter this trend, with increased demand from the biodiesel, SAF and HVO industries driving up the price of UCO and, consequently, the final product. The use of WOFs in biodiesel production is also expected to impact the glycerin market, which, because some countries accept only the byproduct derived from virgin vegetable oils, will need to diversify its consumer base. The Brazilian biofuels industry considers the deadline for the mandatory adoption of 1pc OGRs in biodiesel production to be insufficient, given the necessary adaptations required at plants that currently operate exclusively with virgin vegetable oils. A major biodiesel producer that acquired existing WOF plants in the Brazilian market told Argus that it has been involved for over three years in projects to adapt these industrial units. It considers it unfeasible for small-scale plants to complete all the required adjustments in just over a year and a half. The MME stated that the measure takes into account the sector's varying technological realities. The gradual implementation is specifically intended to allow for industrial adaptation and the expansion of processing capacity for these raw materials. Traceability initiatives Brazil's UCO market is maturing but, to date, lacks consolidated traceability projects. According to the MME, the period of voluntary use of WOFs was structured to allow for the sector's gradual adaptation, the development of collection and processing chains and the advancement of traceability mechanisms. In this context, Brazil's animal recycling association Abra is working to create a specific national classification of economic activities (CNAE) for UCO. The organization is also developing an app designed to record information on the collection and movement of the raw material, with the aim of reducing traceability gaps and increasing transparency throughout the production chain. Meanwhile, Brazil's state-controlled oil company Petrobras recently announced an investment of R23mn in initiatives for the collection of animal by-products intended for the production of biofuel. The funds will be directed toward projects by non-profit organizations to improve the logistics and infrastructure of collection points, including the provision of equipment for filtering and temporary storage of the product. By Natalia Dalle Cort Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
European FCC margins flip back to premiums
European FCC margins flip back to premiums
London, 9 June (Argus) — Northwest European fluid catalytic cracking (FCC) margins have returned to a premium after a rare few sessions of negativity. FCC margins — calculated as a 70:30 ratio between gasoline and diesel refining margins adjusting for delivered northwest Europe low-sulphur vacuum gasoil (VGO) differentials to crude prices — were a $3.59/bl premium at the close on Monday, 8 June, the highest since 1 May and compared with rare discounts , of around $10/bl, in the last week of May. The shift is important at the start of the European summer driving season. Blending indicators have been relatively profitable in Europe, with the gasoline-naphtha spread at $264.35/t at the last close. Paper market participants have pointed to increased buying interest for the paper 'gas-nap' contract since mid-May, with trades reported around $240-270/t. The wider spread, along with good export interest from US, have supported gasoline blending activity even with low FCC margins. A European trader said the transatlantic arbitrage appeared to narrow in recent sessions, suggesting a slowdown in exports to the US in the coming weeks. This may hamper the need to blend gasoline. But demand in the Mediterranean region has picked up, an analyst said, especially in France because of refinery maintenance works. A rise in European demand may partially account for waning export interest. VGO premiums against the Ice August Brent crude futures contract narrowed to a $28/bl premium, from a record high $40.50/bl on 26 May. Supply tightness has eased slightly, with two VGO cargo arrivals from Saudi Arabia last week. Narrowing VGO premiums have also supported hydrocracker margins this week, which recovered to a $13.35/bl premium on 8 June from a 41¢/bl discount on 26 May. European refiners have prioritised diesel and jet fuel yields in recent months as the European middle distillate markets have lost a significant share of imports from east of Suez. A large share of available VGO has, hence, been almost entirely redirected to the diesel pool for hydrocracker utilisation. An estimated 15pc of European diesel imports have been hindered due to the US-Iran war. Refiners are likely to continue increasing diesel yields, which may further cut into VGO availability for FCCs, despite the rise in margins. By Atishya Nayak Secondary unit margins $/bl Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Nigerian returns to net gasoline importer in May
Nigerian returns to net gasoline importer in May
London, 5 June (Argus) — Gasoline deliveries to Nigeria were a four-month high of 57,000 b/d in May, after bumper import permits were issued for the second quarter and market participants flagged maintenance works at independently-owned Dangote's 700,000 b/d Lekki refinery. Gasoline exports from Nigeria were 23,000 b/d, of which Dangote-origin product accounted for 15,000 b/d. This meant Nigeria returned to net gasoline importer status in the month, after net exporting 49,000 b/d in April and 6,000 b/d in March, according to Kpler data. Europe met all of Nigeria's May import requirements. Norwegian product accounted for 21,000 b/d, and Italian- and French-origin for 9,000 b/d and 8,000 b/d, respectively. State-owned NNPC and Dangote bought in 11,000 b/d and 27,000 b/d respectively. The buyer or buyers of the remaining 19,000 b/d are unknown, according to Kpler. The data suggest Dangote is at once the country's top gasoline producer and importer. The refinery owner brought in 29,000 b/d of the 67,000 b/d total gasoline imports in January-May, according to Kpler. Independent Nigerian marketers were legally entitled to exercise their import licenses in May. Downstream regulator NMDPRA issued 700,000t of permits for the second quarter to AA Rano, AYM Shafa, Bono, Matrix, Nipco and Pinnacle. The Lekki refinery's roughly 218,000 b/d residual fluid catalytic cracker (RFCC) was under maintenance in May, according to multiple sources. A Nigerian gasoline trader said the refinery bought naphtha and condensate for blending. Dangote was approached for comment. Loadings of RFCC feedstock low-sulphur straight-run (LSSR) fuel oil from the refinery hit an eight-month high of 105,000 b/d in May, and 7,000 b/d of gasoline blending components were delivered to the plant in the month: 210,000 bl of cat-cracked gasoline, 85,000 bl of gasoline blendstock, and 135,000 bl of Bonny condensate, according to Kpler. Blending component deliveries to the refinery hit a record 29,000 b/d in April. Nigerian gasoline imports have been elevated so far in June, with license holders likely to exercise their allocations before expiry at month-end. AA Rano has landed 56,000 b/d, and NNPC has imported 121,000 b/d. The 177,000 b/d of gasoline cargo arrivals in June to date are three times higher than May and up from 140,000 b/d in June 2025. Dangote Industries' told Argus this week it has upgraded the Lekki refinery's nameplate capacity to 700,000 b/d from 650,000 b/d, which could boost naphtha output capacity for eventual gasoline blending. The refinery's planned expansion to 1.45mn b/d capacity may render Nigeria a permanent net exporter of gasoline as soon as December 2028. The new capacity would be a "copy-paste" version of the current Lekki plant's configuration, according to sources with knowledge of the matter, suggesting gasoline production capacity would double in the next 30 months. By George Maher-Bonnett Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
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