Macron's Middle East trip secures diesel supplies, France gains nearly 300,000 tons extra per month, Saudi Arabia promises to supply as long as needed

France is securing greater buffers for its diesel supply and fuel prices through new supply agreements with Gulf countries.

According to reports on Wednesday the 21st local time, the French presidential palace confirmed that Saudi Arabia has agreed to continuously increase diesel supplies to France whenever required. Previously, France had finalized or advanced arrangements with Saudi Arabia, the United Arab Emirates, and Bahrain for a combined additional monthly supply of 295,000 tons of diesel.

This means that after Macron's three-day tour of the Gulf region, France not only secured short-term additional supplies but also obtained a commitment from Saudi Arabia to extend its oil supply. The French presidency previously estimated that the additional diesel supply secured this week is slightly over 10% of France’s diesel consumption, with negotiations for supplies in subsequent months still ongoing.

Against a backdrop of Middle East conflicts disrupting energy supplies and high fuel prices, France is simultaneously seeking to increase imports, utilize strategic reserves, and strengthen the protection of energy infrastructure to mitigate supply risks. In early October, the Group of Seven (G7), which includes France, agreed to coordinate the release of a total of 100 million barrels of crude oil and refined products; Macron’s shift toward Gulf oil producers for additional diesel is another step France is taking to ensure refined fuel supplies.

Saudi Arabia, UAE, and Bahrain supply diesel; TotalEnergies participates in implementation

According to arrangements previously announced by the French presidency, the additional diesel supply mainly comes from three Gulf countries.

Saudi Arabia previously agreed to supply France with an additional 95,000 tons of diesel per month in October and November. The UAE committed to an extra 100,000 tons per month, while Bahrain is also expected to provide 100,000 tons per month. The supply from Bahrain will be contracted between the French energy giant TotalEnergies and Bahrain’s state-owned oil company BAPCO. In total, the three sources amount to 295,000 tons per month, which is slightly over 10% of France’s diesel consumption.

However, the duration of the additional supplies remains unclear. The French presidency stated on Wednesday that an agreement has been reached with Saudi Arabia to extend the previously agreed additional diesel supply for “any months needed” to safeguard France’s fuel supply, but did not specify whether this commitment refers only to the previous 95,000 tons per month arrangement. The specific duration for additional supplies from the UAE and Bahrain has not yet been announced.

The French presidency also stated that the Saudi government welcomes France’s assistance in protecting its critical Yanbu energy infrastructure. In September, France pledged to send air defense systems to help Saudi Arabia protect its oil facilities against attacks from Yemen’s Houthi rebels.

High fuel prices increase pressure as Macron pursues multiple guarantees

The immediate context for the Gulf trip is the ongoing Middle East conflict impacting energy supplies and soaring diesel prices, which are placing pressure on French consumers and businesses.

According to previous reports by French media, Macron’s visits to Kuwait, the UAE, Bahrain, and Qatar have listed energy security as one of the key issues. France not only hopes for more diesel and other energy supplies but also aims to reduce the risk of supply disruptions through long-term cooperation.

In September, Macron stated in an interview with French TV stations TF1 and France 2 that, given the international crisis, France must be prepared to resort to “military means,” and emphasized that every effort would be made to reopen the Strait of Hormuz. Regarding the ongoing surge in fuel prices, he also did not rule out the possibility of reducing fuel taxes if necessary.

In early October, energy security pressures further intensified. The G7 agreed to coordinate the release of a total of 100 million barrels of crude oil and refined products through the International Energy Agency (IEA), including a large-scale release of diesel within the first 20 days, and pledged to avoid export restrictions on energy products between member states.

Media outlets noted that this was a joint action taken by other G7 countries after pressure from US President Trump, and pointed out that the US had previously discussed restricting diesel exports. Europe has been concerned that this would further impact its supply, given Europe’s growing reliance on US diesel.