President Trump said Sunday his administration is "very seriously" weighing a ban on U.S. diesel exports, as surging fuel prices become a political liability ahead of November's midterm elections. Speaking to a reporter while attending the Presidents Cup golf tournament in Illinois, Trump said, "We're thinking about it very seriously," adding that a decision could come soon.
We're thinking about it very seriously.
President Donald Trump
Retail diesel prices hit a record $6.53 a gallon on September 22 and had eased only slightly to $6.45 by Monday, according to price-tracking data cited by multiple outlets. The increases have hit truckers, farmers and delivery-dependent businesses hardest, and Republican lawmakers have increasingly pushed export restrictions as a lever to bring domestic prices down before voters go to the polls.
The idea faces stiff opposition from the refining industry. The American Fuel & Petrochemical Manufacturers, a trade group representing refiners, has warned that blocking export sales of surplus diesel would force refiners to cut overall fuel production, "putting upward pressure on prices and increasing America's reliance on imported fuel" for gasoline and jet fuel as well. Energy Secretary Chris Wright has said a blanket export ban would not work and could push up prices for other fuels even as it lowers diesel costs domestically.
The dynamics reflect a broader fuel-supply squeeze tied to the U.S.-Iran conflict, which has disrupted tanker traffic through the Strait of Hormuz and kept global energy costs elevated for months. Diesel is particularly exposed because U.S. refiners have leaned on export markets to sell surplus production, and any sudden restriction would need to be absorbed by a domestic distribution system already running near capacity.
Trump's economic team has reportedly discussed several options short of an outright ban, including targeted restrictions or temporary export quotas, according to people familiar with the deliberations. The American Petroleum Institute, the industry's largest lobbying group, has also come out against a blanket ban, arguing it would distort markets without guaranteeing lower prices at the pump. A decision is expected within weeks as the White House weighs the political benefit of visibly lower diesel prices against the risk of a broader fuel-price backlash closer to Election Day.
