Argentina Suspends Oil Exports to Address Fuel Shortage

Argentina has decided to suspend its oil exports to tackle the fuel shortage issue, and it will prohibit oil producers in the country from exporting unless they increase fuel supplies.

Argentina may also prevent oil producers from exporting crude oil outside the country unless they ensure sufficient domestic supplies amid the ongoing fuel shortage.

This warning came from the Minister of Economy, Sergio Massa, who is also a presidential candidate.

Massa stated, "If the fuel supply issue is not resolved, companies will not be able to send export ships, as Argentine oil belongs first and foremost to the Argentine people."

Massa added that some companies were withholding fuel supplies due to their bets that the government would lower the official exchange rate after the recent presidential elections.

These comments come amid a fuel shortage that has led to long queues at gas stations and fuel stations closing, leaving government vessels waiting for fuel imports and stranded at sea.

Meanwhile, government officials have stated that the fuel shortage will be resolved soon with the arrival of 10 shipments of imported fuel.

The country's Minister of Energy informed local media that fuel distribution would take a few days, but the shortage should be resolved.

The fuel shortage occurred earlier this month, and local media attributed it to a shortage of dollars that prevented the government from obtaining sufficient imported fuel, leading to long lines at gas stations and fuel depletion.

However, Energy Minister Flavia Royon attributed the shortage to an increase in tourism activity last week, as well as rumors of fuel price increases following the upcoming elections scheduled for November 19.

Argentina announced last week that it would import ten shipments of fuel in the coming days to address the shortage, following a surge in demand and an increase in refining capacity.

Argentina produces 80% of the fuel it consumes and imports the rest. The country has been plagued by massive inflation, reaching 140%, and is facing the threat of a recession.