# Tighter marine fuel sulfur limits will spark changes by both refiners and vessel operators -
		U.S. Energy Information Administration (EIA)

> The EIA explains that the IMO decided in October to cut maximum marine fuel sulfur from 3.5% to 0.5% by 2020. Refiners and vessel operators will need to adjust operations, with crude price uncertainty a major factor.

- Date: 2016-11-30 · published 2016-11-30T12:00:00.000Z
- Category: policy · region Global · magnitude medium
- Page: https://feedsoft.ai/events/74014-tighter-marine-fuel-sulfur-limits-will-spark-changes-by-both-refiners-and
- Commodities: [ULSD / Diesel](https://feedsoft.ai/c/DIESEL.md), [Crude Oil (Brent)](https://feedsoft.ai/c/BRENT.md)

## Why it matters

The 2020 bunker sulfur cut will raise demand for low-sulfur distillates and reduce demand for residual fuel, shifting diesel prices upward relative to crude and affecting freight costs.

## Read by commodity

- BRENT: neutral
- DIESEL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DIESEL | 2018-12-14 | [Coming changes in marine fuel sulfur limits will affect global oil markets -
		U.S. Energy Information Administration (EIA)](https://feedsoft.ai/events/61737-coming-changes-in-marine-fuel-sulfur-limits-will-affect-global-oil-markets-u-s.md) | -6.7% | -1.6% |
| DIESEL | 2018-03-08 | [Refiners, traders brace for fuel-market volatility ahead of sulfur caps](https://feedsoft.ai/events/66210-refiners-traders-brace-for-fuel-market-volatility-ahead-of-sulfur-caps.md) | +0.6% | +5.7% |
| DIESEL | 2019-01-05 | [The FreightWaves oil report: Mexico steps in with a new chunk of low sulfur diesel demand - FreightWaves](https://feedsoft.ai/events/12482-the-freightwaves-oil-report-mexico-steps-in-with-a-new-chunk-of-low-sulfur.md) | +6.0% | +7.5% |
| DIESEL | 2016-11-03 | [Market Eye: Diesel Markets Set to Tighten Before 2020 \| Energy Intelligence](https://feedsoft.ai/events/74013-market-eye-diesel-markets-set-to-tighten-before-2020-energy-intelligence.md) | -2.1% | +11.8% |
| DIESEL | 2019-02-01 | [A trade gets done in Singapore and gives a hint what will happen to fuel prices under IMO2020 - FreightWaves](https://feedsoft.ai/events/60790-a-trade-gets-done-in-singapore-and-gives-a-hint-what-will-happen-to-fuel-prices.md) | +1.4% | +6.7% |
| BRENT | 2019-04-09 | [With Russia Cold To Cuts And Libya On Fire, OPEC Supply Squeeze May End \| Investing.com](https://feedsoft.ai/events/59504-with-russia-cold-to-cuts-and-libya-on-fire-opec-supply-squeeze-may-end.md) | -0.1% | -1.0% |
| BRENT | 2020-12-04 | [OPEC holds it 12th Ministerial and non-OPEC Ministerial Meeting – Energy Focus Report](https://feedsoft.ai/events/49557-opec-holds-it-12th-ministerial-and-non-opec-ministerial-meeting-energy-focus.md) | +3.6% | +4.5% |
| BRENT | 2025-12-01 | [OPEC+ sticks to its 'all is fine in oil' mantra, but uncertainty rises \| Reuters](https://feedsoft.ai/events/21423-opec-sticks-to-its-all-is-fine-in-oil-mantra-but-uncertainty-rises-reuters.md) | +0.7% | -1.8% |

## Sources

- eia.gov: https://www.eia.gov/TodayinEnergy/detail.php?id=28952

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.