SWith the increasing growth of diesel demand and declining growth of gasoline in Northwest Europe, one might have expected diesel prices to increase relative to gasoline.  This graph shows that has not occurred.  While the swings in the price differences have increased, on average there is no downward trend.
	SThe United States’ need for gasoline imports has helped Europe maintain its gasoline production balance.  Hydrocracker investment to increase diesel production is expensive, and with Europe being in a better position to meet U.S. gasoline specifications than many other exporters, increasing flow of gasoline from Europe to the United States is likely.  Higher U.S. prices may be required to draw these gasoline import volumes, which will retard hydrocracker growth in Europe and provide more imports for the United States.