Russia has banned aviation fuel exports until November 30, 2026, to stabilize its domestic market after Ukrainian drone strikes hit its refineries. The attacks have impacted facilities accounting for a quarter of Russia's refining capacity, pushing processing to its lowest level since 2009. While the ban caused Indian airline stocks to fall, the global impact is expected to be minimal as Russia supplies less than 2% of the world's jet fuel.
Russia aviation fuel export ban
- ▪The stated purpose of the export ban is to ensure stability in Russia's domestic fuel market
- ▪This is Russia's first-ever ban on jet fuel exports, according to the RBC news outlet
- ▪The Russian government has banned aviation fuel exports until November 30, 2026
- ▪Russia has also restricted gasoline exports, with that ban in force through July 31
Ukrainian strikes on Russian refineries
- ▪Russian diesel production fell by about 10% in May 2026, which followed a 10% monthly drop in April 2026
- ▪The ban was prompted by Ukrainian drone strikes on Russian oil refineries and energy infrastructure
- ▪Processing volumes at Russian refineries have fallen to 4.69 million barrels per day, the lowest level since 2009
- ▪Ukrainian strikes have impacted facilities that account for around 25% of Russia's total refining capacity and over 30% of its gasoline output
Indian aviation stock declines
- ▪Following the news, shares of Indian airlines SpiceJet and InterGlobe Aviation (IndiGo) fell on June 2, 2026 by up to 2.5% and over 1% respectively
- ▪The stock decline was linked to investor caution, as fuel costs are a major operating expense for airlines
Global jet fuel supply impact
- ▪Russia is not a major global supplier of jet fuel, accounting for less than 2% of global supplies with an average of 30,000 barrels exported per day in 2025
- ▪Russia's jet fuel is mainly exported by rail to Central Asian countries, including Kazakhstan, Kyrgyzstan, Tajikistan, and Uzbekistan
- ▪The export restrictions are considered unlikely to have a major impact on international fuel markets
Story comments
Loading comments…