Core Viewpoint - The Russian government is considering a series of regulatory measures to address the rising wholesale gasoline prices and supply shortages in the domestic fuel market, including the removal of import tariffs and temporary easing of restrictions on certain chemical additives [1][2]. Group 1: Regulatory Measures - Deputy Prime Minister Alexander Novak has submitted proposals to Prime Minister Mikhail Mishustin, which require official confirmation for implementation [2]. - The proposed measures include the removal of a 5% import tariff on gasoline from China, South Korea, and Singapore, and the activation of a domestic "damping" subsidy mechanism to lower domestic gasoline processing costs below international market prices [2][4]. - These measures are expected to increase domestic gasoline supply by 350,000 tons and diesel by 100,000 tons monthly, equating to an additional 15,000 tons of refined oil daily [2]. Group 2: Supply Chain Challenges - Experts note that high shipping costs from East Asian countries and the distance of central Russia from ports may diminish the effectiveness of the tariff exemption for the central region [3]. - The ongoing conflict has led to damage at major refineries, with at least four facilities affected, resulting in a daily gasoline production decrease of approximately 80,000 tons, which is 15% of national capacity [2]. Group 3: Domestic Production Enhancements - Novak proposed temporarily lifting the ban on the use of the chemical additive methylamine (MMA) to improve the octane rating of low-grade gasoline, allowing refineries to process more low-quality crude oil into standard 92-octane gasoline [4]. - Additional measures include increasing fuel imports from Belarus from 45,000 tons per month to 300,000 tons, allowing up to 5% ethanol in gasoline, and raising the aromatic content limit in gasoline from 35% to 40% [4]. Group 4: Previous Measures and Market Response - This is not the first time the Russian government has implemented fuel market regulations; a ban on gasoline exports was extended to the end of 2025, and diesel transport is subject to quota management [6]. - Market reactions indicate that previous export restrictions have had limited effectiveness, as domestic refining capacity remains compromised, leading to continued fuel shortages in some regions [6]. Group 5: Structural Issues - Analysts believe that the new measures are primarily emergency responses that may alleviate market pressure in the short term but do not address deeper structural issues in the Russian fuel industry, such as aging refining facilities and slow technological upgrades [8]. - The specific implementation timeline for these proposals remains uncertain, with no comments from the Prime Minister's or Deputy Prime Minister's offices [8]. Group 6: Regional Trade Agreements - The Eurasian Economic Commission announced a suspension of fuel import tariffs in the Eurasian Economic Union from October 10, 2026, to June 30, 2027, aligning with Russia's domestic measures to stabilize fuel supply among member countries [9].