|SGasoline and distillate demand growth in the
U.S. is very different compared to Europe.
Not only is gasoline demand higher than distillate (and diesel), but
in the U.S. both products are growing at similar rates.
|–U.S. distillate annual growth from 1995 to
2004 averaged 2.1% and gasoline demand increased annually at 1.7%.
|–As a result, distillate’s share of the light
product market increased slightly.
|SIn spite of similar growth patterns, the
increased demand for gasoline and distillate was supplied in different
ways. About half of gasoline growth in
recent years has been supplied with product imports, whereas distillate
growth has been met through both increased capacity and increased yields.
|SNow we will
explore whether or not increased penetration of diesel-fueled light
duty vehicles could face refinery production constraints for diesel fuel that
might hinder such a path.