Europe’s diesel and jet fuel imports stalled in May, marking a second month of flat growth as the ongoing Iran war keeps supply chains tight. Shipments into the European Union and the UK fell to 1.16 million barrels per day, a drop of more than a third from last year. This trend follows a similar pattern observed earlier this year when sanctions tightened.

Vortexa data, compiled by Bloomberg, shows the slump has added pressure on regional energy markets. With fewer barrels arriving, fuel prices could tighten, affecting airlines, trucking fleets and industrial consumers across the continent. This contraction may force operators to seek alternative sources or increase hedging activity, while policymakers monitor the situation for potential supply disruptions in critical sectors.

The sustained decline signals that the conflict’s ripple effects are deepening across Europe’s fuel supply chain. Market participants will likely adjust inventory strategies now that the window for smooth imports has narrowed. Consequently, airlines may face higher operating costs and logistics firms could see tighter margins as they scramble for alternative refueling arrangements. Such volatility may prompt regulators to revisit strategic reserves and encourage investment in alternative fuels.