The International Energy Agency (IEA) reported on Wednesday that the global diesel market is expected to remain tight until the second half of 2027, primarily due to supply disruptions from the Iran conflict, persistently declining inventories, and robust demand. IEA data shows that global diesel exports fell by 700,000 barrels per day year-on-year last month, with Russia and the Middle East accounting for 1.3 million barrels per day of supply losses. While rising oil prices have curbed overall petroleum demand, diesel demand has remained resilient due to its lower price elasticity. The IEA also noted that wholesale diesel prices in Singapore exceeded $200 per barrel in mid-September, while prices in Europe and the Americas reached a historical high of approximately $220 per barrel. US diesel prices touched $6 per gallon for the first time last month.