US refiners have run harder in 2026 as tight diesel supplies boost margins, EIA says
XLE•US refinery utilization averaged more than 95% of capacity from May through September, its highest for those months since 1998, as tight global supplies of refined fuels boosted margins. Total refinery output was the highest since 2019, while capacity had fallen 4% since then.
1. Utilization reaches a high
The US Energy Information Administration said refiners maintained higher-than-normal run rates this year as tight global supplies of refined fuel products supported strong margins. Utilization averaged more than 95% of capacity from May through September, the highest for those months since 1998.
2. Diesel demand drives runs
The EIA said tight global supplies of distillate fuel oil led to high international demand for US exports. Diesel prices hit record highs amid a global shortage caused by the Iran war and Ukraine’s strikes on Russian refineries, while the Trump administration has been coaxing refiners to produce more diesel.
3. Capacity and October trends
Average utilization from May to September has been 92% since 1991, compared with 88% across the other seven months. Although utilization was the highest since 1998, total US refinery output was the highest only since 2019 because refining capacity has decreased by 4% since then. Utilization fell from summer highs in the first three weeks of October but remained above the five-year seasonal average.
