International Energy Agency Chief Birol Warns of Global Inflation and Diesel Prices

International Energy Agency President Fatih Birol announced that diesel prices doubled following the war between the US, Israel, and Iran, warning that this increase could drive up inflation worldwide and emphasizing China's critical role regarding critical minerals.

Twofold Increase in Diesel Prices

International Energy Agency President Fatih Birol stated that global energy markets have entered a new era due to the impact of the war. Expressing that rising diesel prices create new pressure on the world economy, Birol drew attention to the increase in the price of diesel, which is used particularly in the transportation and agriculture sectors.

Inflation and Supply Pressure

Stating that oil prices are hovering around 100 dollars, Birol emphasized that refined petroleum products are more important than crude oil prices. It was stated that diesel prices have increased approximately twofold compared to before the war, and that damage to refineries in the Middle East and Russia has increased supply pressure.

Shift in Energy Policies

Stating that one of the significant developments showing the scale of the current energy crisis is the changes in the energy policies of countries and companies, Birol said that countries are searching for more reliable suppliers. A call was made to set a common target for climate goals within the scope of COP31.

China's Impact on Critical Minerals

Touching upon China's influence over critical minerals, Birol stated that China holds a very strong position. A warning was issued that reducing the export of rare earth elements could directly impact the global automotive sector.