G7 to release 100 million barrels of oil in bid to curb soaring prices - ABC News & Headlines – Australian Broadcasting Corporation

The G7 talks were convened by Emmanuel Macron after a conversation with US President Donald Trump.  (Reuters: Axel Schmidt)

G7 countries are set to release up to 100 million barrels of diesel and crude oil reserves. 

It comes amid soaring fuel prices and after clashes between European leaders and Donald Trump. 

The US president is under political pressure in America over rising energy costs, which have been sparked by the US-Israeli war with Iran. 

G7 countries have agreed to release 100 million barrels of diesel and crude oil from their reserves over four months to ease global energy supply concerns.

The leaders also pledged not to impose export restrictions on energy products.

The announcement came after G7 leaders held a video conference, chaired by French President Emmanuel Macron, as the United States stepped up pressure on Europe to release strategic reserves and threatened a diesel export ban.

The talks, convened by Mr Macron after a conversation with US President Donald Trump, focused on coordinating a response to soaring fuel prices among the other G7 economies of Britain, Canada, Germany, Italy, Japan and the United States.

The US-Israeli war with Iran has sent energy prices skyrocketing, coming back to bite Mr Trump at home with high fuel costs that have become a key issue ahead of midterm congressional elections in a month.

Mr Trump has floated the possibility of banning US exports of diesel, which is used in farming machinery, trucks and other hauling vehicles, an alarming prospect for the EU, which relies heavily on fossil fuel imports.

The seven countries agreed to a coordinated release through the International Energy Agency (IEA) of 100 million barrels "to begin immediately over four months, including a front-loaded substantial diesel release within the first 20 days", the leaders said in a statement released by Mr Macron's office.

Emmanuel Macron, flanked by two French ministers, spoke after convening the G7 meeting.  (Reuters: Ludovic Marin. )

They also said there would be no ban on diesel exports between them.

"We reaffirm our commitment to refrain from export restrictions on energy and energy products between G7 countries and call on all producers to refrain from imposing bans that could exacerbate market tensions," the leaders said.

Mr Trump said European countries had agreed to release a "massive amount" of diesel from their reserves.

"The process will begin immediately," he posted on his Truth Social network.

Earlier the EU pushed back hard against US threats to impose a diesel export ban, something Mr Macron also warned against during his conversation with Mr Trump.

"We fully reject any ban on diesel," European Commission spokeswoman Anna-Kaisa Itkonen said, warning it would "undermine our trust in the United States as a reliable partner". 

The flurry of diplomatic activity came a day after US Treasury Secretary Scott Bessent cranked up the pressure on European nations.

The 32 members of the IEA agreed last March to unlock 400 million barrels of oil from reserves, their largest release ever.