Trump Urges Oil-Short Countries to Buy Jet Fuel from the U.S., Analysts Say U.S. Production Capacity Can’t Make Up the Gap

Gate News message: On April 2, U.S. President Trump said this week that countries struggling to obtain aviation fuel due to Iran’s blockade of the Strait of Hormuz can buy from the United States. But analysts say the U.S. can’t make up for the global supply shortfall. Data from ship-tracking service provider Kpler shows that about 500,000 barrels of aviation fuel leave the Strait of Hormuz every day, mainly headed to Europe, with some shipments going to Asia and Africa. Meanwhile, data from the U.S. Energy Information Administration (EIA) shows that the U.S. exported an average of 219,000 barrels of aviation fuel per day last year. Kpler analyst Matt Smith said, "The chances that the U.S. could replace supplies from the Strait of Hormuz are very, very, very small. Even if the U.S. has enough aviation fuel, it still has a large number of airlines. " In addition, most U.S. aviation fuel is produced along the Gulf Coast, while the main demand centers on the East Coast and West Coast have historically relied on imports to meet demand.