Market Intelligence
Refineries Cut Gasoline Yields to Boost Middle Distillates
Elevated refining margins have prompted operators to lower gasoline output in favour of distillate fuel oil and jet fuel during 2026.

Refining facilities adjusted their operational yields in 2026, curbing gasoline output to prioritise the manufacture of middle distillates. The transition reflects notable production shifts across product cut points in the refining sector.
According to the U.S. Energy Information Administration's Petroleum Supply Monthly report covering figures through August 2026, refinery yields for gasoline recorded substantial declines. In response, processing capacity was redirected toward boosting volumes of distillate fuel oil alongside aviation jet fuel.
The reallocation of product yields has been largely driven by particularly strong refining margins for middle distillates over the course of the year. These market conditions encouraged plants to maintain elevated output for both distillate fuel oil and jet fuel relative to light fuels.
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Refineries have shifted production away from gasoline to middle distillatesGlobal Freight Briefing
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