PCK – one of the country's significant refineries – is running at only 50 percent capacity because of an embargo on Russian oil.
Germany’s capital Berlin and eastern regions are facing gasoline shortages and high fuel prices, as Russian oil has no longer been flowing to Europe since January 1.
The PCK refinery in Schwedt, in the eastern German state of Brandenburg, which was previously supplied exclusively with Russian pipeline oil, is only running at around 50 percent capacity due to the drop in supply, according to the Business Insider website.
The reduced production is starting to show effects. This is already reflected in the markups on the national average of the gasoline price of the Seefeld gasoline depot, which is located northeast of Berlin.
This had already risen in the first two days of January compared to the previous week from €1.76 ($1.89) per 100 litres to €4.40 ($4.72) per 100 litres.
In addition, price information service Argus Media reported that there is already a production shortage of gasoline in the region.
"PCK shareholders have been withholding gasoline since January 2," according to Argus Media.
At the oil company that operates PCK, many employees are even currently working short hours, according to Business Insider.
Larger alternative oil supplies from Poland and Kazakhstan, as announced by the German government, have yet to arrive, the news site adds.
READ MORE: Cap on Russian oil — what happens next?
Relations between Germany and Russia are strained over the conflict in Ukraine.
Berlin suspends bilateral cooperation and imposes harsh economic sanctions on Moscow.
Before the conflict began in February, Russia supplied nearly 55 percent of Germany's natural gas and 35 percent of its oil.
German Chancellor Olaf Scholz's governing coalition had decided to completely stop Russian oil imports by the end of 2022 and reduce gas imports to a minimum while reaching agreements with Qatar and the United Arab Emirates to import liquefied natural gas.
READ MORE: Russia gas sanctions 'could cost' Germany extra $5.4B a year