Iraq curbs fuel imports as domestic refining capacity grows

Shafaq News/ Iraq has ramped up production of key oil derivatives, eliminating the need for diesel and kerosene imports and significantly reducing its reliance on foreign gasoline supplies, the state-run Oil Products Distribution Company said on Saturday.

“The country now fully meets its domestic demand for white oil and diesel, and has made major strides in narrowing the gap in gasoline supply,” said Hussein Talib, the company’s director general, in a statement.

Gasoline imports have seen a sharp decline over the past 18 months, falling from 15–16 million liters per day to just 5–6 million liters, he added. The remaining imports are mainly high-octane grades, which are blended with domestically refined fuels to enhance output and meet consumption needs.

Talib credited the shift to a series of government-led initiatives aimed at modernizing refining infrastructure and boosting operational capacity—measures that have helped Iraq curb fuel imports and strengthen its energy independence.

While Iraq remains a major crude oil exporter, it has long depended on imports to meet local demand for refined products due to outdated refinery systems.