Valero Scale Advantage Drives Disciplined Q1 Margin Capture Under DPA
VLO•Valero Energy Corporation extended disciplined margin capture through Q1 2026 across its Gulf Coast, mid-continent, West Coast and Atlantic Coast refineries, leveraging tight U.S. refining economics. Scale advantage and permitted refining capacity position the company to benefit from Defense Production Act prioritization of domestic infrastructure.
1. Q1 2026 Margin Performance
Valero Energy reported continued disciplined margin capture in Q1 2026, maintaining robust profitability despite structurally tight refining economics. The company sustained margin discipline across its refinery network, reflecting effective demand management and operational efficiency.
2. Regional Refining Portfolio
Valero’s diverse portfolio spans refineries on the U.S. Gulf Coast, mid-continent, West Coast and Atlantic Coast, providing scale and logistical advantages. This geographical reach enables the company to optimize feedstock sourcing and distribution across key fuel markets.
3. Defense Production Act Impact
The Defense Production Act’s prioritization of domestic refining infrastructure reinforces a structural premium on permitted capacity. Valero’s extensive permitted refineries are well positioned to capture incentives and strategic demand preferences under these federal policies.
