Petroleum Refineries NAICS 324110

Mar 27, 2026 - Jet Fuel Prices Soar on Conflict

• US jet fuel prices have more than doubled as the conflict in the Middle East squeezes supply, fueling concerns that airlines could run short of fuel, Fox News reported in March. Damage to Middle East infrastructure, refinery shutdowns, and restricted tanker traffic through the Strait of Hormuz are limiting the flow of crude and refined products, tightening global jet fuel availability. For refineries that produce jet fuel, this environment presents a mixed but opportunity-rich scenario: reduced refinery output and logistical disruptions are contributing to record-high refining margins (“crack spreads”), significantly boosting potential profitability for operating refineries, while facilities face operational risks, including feedstock shortages, transportation bottlenecks, and geopolitical threats to infrastructure. The surge in demand for refined products, especially jet fuel, diesel, and gasoline, means refineries able to maintain production are in a strong position to capitalize on tight supply and elevated prices.
• The latest Current Policies Scenario from the International Energy Agency (IEA) projects that global demand for oil and natural gas won’t peak this decade, but instead will continue to rise through 2050 under existing policy settings, The Wall Street Journal reports. For refineries this signals a sustained flow of crude as energy producers are more likely to continue upstream investment, drilling activity, and infrastructure build-out rather than scaling back operations. Previously, under its so-called peak oil scenario, the IEA had forecast a decline in global demand for oil and gas as countries shifted away from fossil fuels and toward EVs and renewable energy sources, according to WSJ. The IEA’s revised outlook extends the demand window for refining capacity, meaning business plans premised on a rapid fossil-fuel phase-out may need to be revisited.

• The Environmental Protection Agency in September released a sweeping proposal to eliminate the Greenhouse Gas Reporting Program (GHGRP), the nation’s repository of annual carbon emissions data from more than 8,000 industrial facilities, the AP reports. The program requires refineries, power plants, oil wells and landfills to report their emissions. EPA Administrator Lee Zeldin, citing President Trump’s anti-climate executive actions, described the GHGRP as unnecessary bureaucracy and estimated that ending the program could save businesses up to $2.4 billion in compliance costs over the next decade. Critics say slashing reporting requirements risks a big increase in emissions. The EPA said that other data-gathering efforts, such as the Manufacturing Energy Consumption Survey that tracks fuel use in that sector, will continue. The agency will publish the emissions proposal in the Federal Register and open a 47-day public comment period before finalizing the rule.
• Producer prices for petroleum refineries declined by 2.7% in February compared to a year ago, after sinking 11.3% in the previous February-versus-February annual comparison, according to the latest US Bureau of Labor Statistics data. Employment by the industry shrank 3.4% year over year in January, while capacity utilization rose: US refining capacity utilization is trending upward and is expected to average about 91.4% this year, slightly higher than in 2025 and the highest since 2022, according to the Energy Information Administration.