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Posted September 24, 2025U.S. total distillate inventories forecast to end 2025 and 2026 at multiyear lows ›
Note: Total distillate inventories include distillate fuel oil, renewable diesel, and biodiesel inventories.
In our September Short-Term Energy Outlook, we forecast U.S. total distillate inventories to end 2025 and 2026 at lower levels than previous years because of significant inventory draws in 2025, strong export demand, and domestic production declines stemming from refinery closures. In the weeks since the publication of this forecast, U.S. distillate inventories have increased substantially, but they remain relatively low. Distillate fuel oil includes both diesel fuel used in vehicles and home heating oil. Lower distillate inventories elevate the risk of higher prices and price volatility from supply disruptions, especially during periods of high demand like the autumn harvest and winter heating season.
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