Fuel prices in Russia may continue to rise due to production shortages

Retail fuel prices in Russia are expected to maintain an upward trend due to production shortages in the oil refining sector and global market volatility, according to independent oil and gas market expert Vladimir Demidov. In an interview with Pravda.Ru, Demidov noted that any future price stabilization will not result in a decrease in costs because the domestic market is facing a genuine supply deficit. Data from the Center for Fuel and Energy Market Development (CDU TEK) indicates significant price increases between January 1 and July 12. During this period, the average cost of AI-92 gasoline rose by 7.4%, reaching 67.03 rubles per liter, while diesel fuel prices increased by 12.1%. The impact is more severe at independent gas stations not affiliated with major oil companies, where price jumps have reached nearly 40%. This discrepancy has drawn attention from the Federal Antimonopoly Service (FAS) and regional authorities, affecting both general consumers and the agricultural sector. Refining Constraints and External Pressure The primary driver of current pricing is the condition of refining capacities. Demidov links the risk of resource shortages directly to external impacts on industry infrastructure. Additionally, geopolitical events in the Middle East are pushing global oil quotes higher, which traditionally triggers domestic price increases.