G7 countries agreed on Friday on the release of 100 million barrels of diesel and crude oil from emergency reserves through the International Energy Agency (IEA), according to a joint statement on Friday, in a bid to stabilize world energy markets.

"Taking into account commitments that have already been fulfilled, we will implement our commitments with a coordinated release through the IEA of 100 million barrels," the G7 said in a joint statement.

It said it would begin immediately and last four months with a frontloaded substantial diesel release within 20 days by G7 members and partners.

It did not provide a breakdown for the volumes of crude, diesel and other products to be released nor state which countries would participate.

"We will convene in the context of the IEA in the coming days to discuss the possibility of additional diesel releases as necessary," the statement added.

Surging fuel prices

The move was cheered by US President Donald Trump, as he seeks help to cool off surging domestic fuel prices linked to the Iran war ahead of November 3 midterm elections.

"Europe has just agreed to release a massive amount of their heavily stocked Diesel Oil. The process will begin immediately," Trump wrote in a post on Truth Social on Friday.

The Trump administration had told Germany and France to draw down emergency diesel inventories or face a potential US diesel export ban.

The G7 statement said member countries would refrain from imposing export restrictions on energy products between themselves.

"This is a political statement rather than a specific and binding commitment with the large headline number intended to persuade President Trump not to impose a diesel export ban," analysts at Energy Aspects said in a note.

Europe has boosted its imports of US diesel this year due to disrupted supply from Gulf producers due to the Iran war.