Regan Brown
Diesel fuel is a liquid fuel used in diesel engines, which are internal combustion engines that use compression to ignite the fuel without a spark. In the United States, diesel fuel is primarily produced by petroleum refineries, and it is the second most widely used transportation fuel after gasoline. In 2022, U.S. refineries produced about 73.46 billion gallons of ultra-low-sulfur distillate (ULSD) diesel fuel, with total ULSD consumption in the country reaching approximately 60.30 billion gallons. This topic explores the production, consumption, and characteristics of diesel fuel in the United States, including its history, alternatives, and applications in various industries.
| Characteristics | Values |
|---|---|
| Diesel fuel production in the US | 1.75 billion barrels (73.46 billion gallons) of ultra-low sulfur distillate (ULSD) in 2022 |
| Total ULSD consumption in the US | 1.44 billion barrels (60.30 billion gallons) in 2022 |
| ULSD imports to the US | 0.07 billion barrels (2.80 billion gallons), with 72% from Canada in 2022 |
| ULSD imports as a percentage of total ULSD consumption | 5% in 2022 |
| Diesel fuel sales in California | 3.5 billion gallons (including off-road diesel) in 2024 |
| Diesel fuel consumption in California | 17% of total fuel sales, second only to gasoline |
| Diesel fuel testing | Required to meet local, state, or federal specifications before entering and leaving pipelines |
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What You'll Learn
- US refineries produce most of the diesel fuel consumed in the US
- Diesel is the second-largest transportation fuel used in California
- Diesel fuel is a distillate fuel with a sulfur content of 15 parts per million or less
- Biodiesel and renewable diesel contribute to the diesel supply in the US
- Diesel engines historically ran on cheap fuel oils
US refineries produce most of the diesel fuel consumed in the US
US petroleum refineries produce most of the diesel fuel consumed in the country. In 2022, US refineries produced about 1.75 billion barrels (73.46 billion gallons) of ultra-low-sulfur distillate (ULSD), which is used as diesel fuel and heating oil. The total ULSD consumption in the US for all uses was approximately 1.44 billion barrels (60.30 billion gallons).
Diesel fuel is a liquid fuel specifically designed for use in diesel engines, which are internal combustion engines that use compression to ignite the fuel without a spark. The most common type of diesel fuel is a specific fractional distillate of petroleum fuel oil, but alternatives that are not derived from petroleum, such as biodiesel, biomass-to-liquid (BTL), or gas-to-liquid (GTL) diesel, are also available. Biodiesel, for example, is predominantly made from soybean and recycled oils, while renewable diesel is made from animal waste oils.
In California, diesel fuel is the second-largest transportation fuel used, accounting for 17% of total fuel sales, behind gasoline. In 2024, 3.5 billion gallons of diesel (including off-road diesel) were sold in the state. Diesel engines are commonly used in heavy-duty vehicles such as trucks, delivery vehicles, buses, trains, ships, construction equipment, and military vehicles due to their higher energy content per gallon than gasoline and their ability to prolong engine life.
While US refineries produce the majority of the diesel fuel consumed in the country, there are also imports and exports of diesel fuel. In 2022, the United States imported about 0.07 billion barrels (2.80 billion gallons) of ULSD, with 72% of those imports originating from Canada. At the same time, the US exported petroleum products, including diesel fuel, through shared pipelines to other countries. The quality of diesel fuel is carefully monitored to ensure it meets local, state, and federal specifications, and any batches that fail to meet these standards are either reprocessed or sold as different products.
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Diesel is the second-largest transportation fuel used in California
California is the second-largest consumer of motor gasoline in the US, after Texas. In 2024, California consumed 3.5 billion gallons of diesel, including off-road diesel, which represented 17% of total fuel sales. This figure is expected to rise as California has more registered motor vehicles and its residents travel more miles by vehicle than those of any other state.
Diesel fuel is the second-largest transportation fuel used in California. Nearly all heavy-duty trucks, delivery vehicles, buses, trains, ships, boats, barges, farm equipment, construction vehicles, and heavy-duty military vehicles and equipment have diesel engines. Diesel engines are preferred because diesel has 12% more energy per gallon than gasoline and has fuel properties that prolong engine life, making it ideal for heavy-duty applications.
Diesel fuel is also used for heating oil. In 2022, US refineries produced about 1.75 billion barrels (73.46 billion gallons) of ultra-low-sulfur distillate (ULSD), a type of diesel fuel with a sulfur content of 15 parts per million or less. While most of the diesel fuel consumed in the US is ULSD, biomass-based diesel fuels such as biodiesel and renewable diesel are becoming increasingly popular. California, for example, introduced biodiesel in 2000 and renewable diesel in 2012. The state can produce about one-third of the biodiesel it consumes annually from four production plants.
California is a leader in the adoption of renewable diesel, which is made from animal waste oils and is nearly identical to petroleum-based diesel. The state accounts for 10% of US renewable diesel production and 91% of the nation's renewable diesel consumption. In 2024, Oakland, California, demonstrated the cost-effectiveness of drop-in-ready renewable diesel.
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Diesel fuel is a distillate fuel with a sulfur content of 15 parts per million or less
Diesel fuel is a type of liquid fuel designed for use in diesel engines, which are internal combustion engines that use compression to ignite the fuel without a spark. Diesel fuel is typically a distillate fuel, specifically a fractional distillate of petroleum fuel oil, although biodiesel and renewable diesel are also used.
In the past, diesel engines ran on cheap fuel oils, which were distilled from petroleum in the US and coal-tar creosote oil in Europe. However, the introduction of motor-vehicle diesel engines in the 1930s led to the need for higher-quality fuels. After World War II, modern high-quality diesel fuels were standardised, and in 1993, the DIN 51601 standard was introduced in the European Union. This was replaced by the EN 590 standard in 1993, which is still used today.
In 2006, the US Environmental Protection Agency (EPA) began phasing in more stringent regulations to lower the amount of sulfur in diesel fuel to 15 parts per million or less. This type of diesel fuel is known as ultra-low sulfur diesel (ULSD). The transition to ULSD became mandatory on June 1, 2010. Before 2006, most diesel fuel sold in the US contained high quantities of sulfur, with levels as high as 5,000 ppm. Sulfur in diesel fuel produces air pollution emissions that are harmful to human health. By reducing sulfur levels, the EPA's diesel standards have significantly reduced harmful emissions from on-road and non-road diesel sources.
In 2022, US refineries produced about 1.75 billion barrels (73.46 billion gallons) of ULSD, with total consumption in the US for all uses being about 1.44 billion barrels (60.30 billion gallons). ULSD is used not only as diesel fuel but also as heating oil.
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Biodiesel and renewable diesel contribute to the diesel supply in the US
In 2022, U.S. refineries produced about 1.75 billion barrels (73.46 billion gallons) of ultra-low sulfur distillate (ULSD) diesel fuel. While diesel fuel and other petroleum products typically run through shared pipelines, the U.S. petroleum refineries produce most of the diesel fuel the country consumes.
Biodiesel and renewable diesel are bio-based diesel fuels that contribute to the diesel supply in the US. They are made from the same starting materials, such as vegetable oils, animal fats, and used cooking oils, and are supported by the same regulations. Biodiesel is predominantly made from soybean and recycled oils, while renewable diesel is made using a hydrogen treatment process, making it chemically equivalent to petroleum diesel.
Biodiesel and renewable diesel are closely related fuels but have some key differences. Biodiesel consumption has been declining since 2016, while renewable diesel has been booming, mainly in California. Renewable diesel does not have a blending ceiling like biodiesel and can be used as a substitute for petroleum diesel. It is also favoured by federal and state carbon-reduction policies that mandate minimum quantities and provide tax credits.
In the first quarter of 2025, U.S. production of renewable diesel and biodiesel fell sharply due to uncertainty related to federal biofuel tax credits and negative profit margins. However, production is expected to increase as the year progresses, with a forecast of a 5% increase in renewable diesel production in 2025 compared to 2024.
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Diesel engines historically ran on cheap fuel oils
Diesel fuel is any liquid fuel designed for use in a diesel engine, a type of internal combustion engine where fuel ignition occurs without a spark. Instead, the inlet air is compressed, and then the fuel is injected. Diesel fuel is most commonly a specific fractional distillate of petroleum fuel oil. However, alternatives that are not derived from petroleum, such as biodiesel, biomass-to-liquid (BTL), or gas-to-liquid (GTL) diesel, are becoming more common.
Before diesel fuel was standardised, diesel engines typically ran on cheap fuel oils. In the United States, these oils were distilled from petroleum, while in Europe, coal-tar creosote oil was used. Some diesel engines used mixtures of fuels, such as petrol, kerosene, rapeseed oil, or lubricating oil, which were cheaper because they were not taxed. The introduction of motor-vehicle diesel engines in the 1930s, such as the Mercedes-Benz OM 138, meant that higher-quality fuels with proper ignition characteristics were required. Initially, no improvements were made to the quality of motor-vehicle diesel fuel. After World War II, the first modern high-quality diesel fuels were standardised, with standards such as the DIN 51601, VTL 9140-001, and NATO F 54. In 1993, the DIN 51601 was replaced by the EN 590 standard, which is still used in the European Union.
Diesel engines can run on a wide range of fuels, as long as the fuel provides some lubrication. For example, Rudolf Diesel's first prototype engine in 1893 ran on petrol. Diesel engines also ran on kerosene, lamp oil, paraffin oil, crude oil, gasoline, and fuel oil. In the late 1920s and 1930s, several series-production aircraft diesel engines that ran on fuel oils were made due to their low fuel consumption, reliability, minimal maintenance, and low risk of fire. However, the introduction of petrol direct injection in the 1930s outweighed these advantages, and aircraft diesel engines fell out of use.
Today, diesel engines are used in most heavy-duty vehicles, including trucks, delivery vehicles, buses, trains, ships, boats, barges, farm equipment, construction equipment, and military vehicles. Diesel fuel is also used in oil and gas extraction equipment. Diesel engines are well-suited for these applications because diesel has 12% more energy per gallon than gasoline and prolongs engine life. Additionally, diesel engines can combust a wide variety of fuels, including biodiesel, which can be made from soybean and recycled oils.
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Frequently asked questions
US petroleum refineries produce most of the diesel fuel consumed in the country. In 2022, U.S. refineries produced about 73.46 billion gallons of ultra-low sulfur distillate (ULSD), a type of diesel fuel.
The most common type of diesel fuel in the US is a specific fractional distillate of petroleum fuel oil. However, alternatives that are not derived from petroleum, such as biodiesel, are also produced.
In 2017, the US consumed 166.47 million gallons of total distillates, which include diesel, jet fuel, kerosene, and home heating oil, per day.
