Flows of gasoline and diesel into the Midwest fall as demand flattens and production grows

11 May 2017   Oil Supply, USA

Over the past 10 years, increased refining activity and relatively flat demand in the Midwest—Petroleum Administration for Defense District 2 (PADD 2)—have allowed refiners in the region to meet a larger share of regional gasoline and diesel fuel needs. As a result, shipments of gasoline and diesel into the region have declined, while shipments to other regions have increased. Despite these changes, the Midwest is still a net receiver of gasoline and diesel fuels, especially during summer months and during periods when refineries are undergoing maintenance. Midwest net receipts of gasoline and distillate (which is mainly ultra-low sulfur diesel) fell from 1.0 million barrels per day (b/d) in 2006 to 500,000 b/d in 2016. The decline in net receipts was driven primarily by a fall in gross receipts from the Gulf Coast (PADD 3), rather than an increase in shipments to […]

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