Mexico plans to halt crude oil exports from 2023 in a bid to increase self-sufficiency in fuel production.

Mexico's state-owned oil producer Petroleos Mexicanos, or Pemex, announced Tuesday that it will reduce daily crude exports next year by more than half to 435-thousand barrels before phasing out sales to foreign customers the following year.

Pemex said in a news conference that crude exports would end from 2023 as Mexico refined all of its oil, in keeping with President Andres Manuel Lopez Obrador's plan to make the country self-sufficient in gasoline. 

Due to the lack of sufficient refining capacity, Mexico has exported its oil and imported costly refined products like gasoline and diesel from U.S refineries. 

Bloomberg News said that South Korean and Indian customers would be hit hardest by the move.