Diesel fuel explained Where our diesel comes from

Most of the diesel fuel consumed in the United States is produced in U.S. oil refineries

U.S. petroleum refineries produce most of the diesel fuel the United States consumes. Most of the diesel fuel consumed in the United States is distillate fuel with a sulfur content of 15 parts per million or less, which is called ultra-low sulfur distillate or ULSD. ULSD is used as diesel fuel and as heating oil. Biomass-based diesel fuels (biodiesel and renewable diesel) also contribute to the supply of diesel fuel.

In 2022, U.S. refineries produced about 1.75 billion barrels (73.46 billion gallons) of ULSD. Total ULSD consumption in the United States for all uses was about 1.44 billion barrels (60.30 billion gallons). Although ULSD production was higher than ULSD consumption, the United States imported about 0.07 billion barrels (2.80 billion gallons) of ULSD, and about 72% of those imports were from Canada. In 2022, total ULSD imports were equal to about 5% of total ULSD consumption in the United States. The United States exported about 0.39 billion barrels (16.45 billion gallons) of ULSD in 2022.

Source: U.S. Energy Information Administration (public domain)

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Diesel fuel tanker truck

Source: Stock photography (copyrighted)

How does diesel fuel get to a refueling station?

Most diesel fuel moves by pipeline from refineries and ports to terminals near major consuming areas. Barges and trains also move diesel fuel to terminals. Trucks transport the diesel fuel from the terminals to retail service stations and to large-volume consumers such as vehicle-fleet operators.

Diesel fuel and other petroleum products are sent through shared pipelines in batches. These batches are not physically separated in pipelines, and some mixing, or commingling, of products may occur. Because mixing is possible, the quality of the diesel fuel and other products must be tested to make sure they meet required specifications as they enter and leave pipelines. When products fail to meet local, state, or federal specifications, they are either removed and transported back to a refinery for further processing or are sold as different products.

Last updated: September 14, 2023, with data from the Petroleum Supply Monthly, June 2023; data for 2022 are preliminary.