July diesel east-west price spread hits widest in 2-1/2 years
10 July 2025
Time to read: minutes
The unprecedented surge in European diesel prices has created arbitrage opportunities to send supplies from the U.S. gulf coast and Asia to Europe, Sparta Commodities’ analyst James Noel-Beswick said in a note.
Reuters, July 10, 2025 – Asia’s middle distillates market saw renewed activity on the trading window with the first spot gasoil deal in nearly two weeks, supported by stronger paper markets and robust sentiment in the West. Taiwan’s Formosa Petrochemical offered August gasoil and jet fuel, while production issues at Taiwan CPC’s Talin refinery may limit spot availability. The east-west arbitrage widened to discounts around $51/bbl, returning to levels seen during the June Iran-Israel conflict.
Book a demo to see how Sparta enables you to trade with conviction
