Fact Sheet: President Donald J. Trump Promotes Diesel Affordability

ADDRESSING AMERICAN DIESEL AFFORDABILITY: Today, President Donald J. Trump signed an Executive Order to temporarily allow off-road “dyed” diesel for highway use and defer the applicable Federal excise tax, lowering costs for Americans.

• The Order directs the Secretary of the Treasury, in consultation with the Secretary of War, to defer payment of the Federal excise tax imposed for on-road use of dyed diesel fuel for the remainder of the year without interest or penalties, and to explore pathways to eliminate the obligation to pay the deferred taxes.
• The Order directs the Secretary of Transportation to coordinate with States, industry leadership, and labor organizations on access to dyed diesel. 
• The Order directs the Secretary of Agriculture to ensure farmers’ access to dyed diesel in high-demand areas, and to encourage corresponding action by States.
• The Order directs the Director of the White House Office of Intergovernmental Affairs to encourage more States to adopt policies that correspond with the Secretary of the Treasury’s actions pursuant to this Order. 

PUTTING MONEY BACK INTO THE POCKETS OF AMERICANS: President Trump is addressing fuel affordability for American consumers, farmers, truckers, and workers. The Administration has already undertaken historic efforts to ensure fuel affordability for Americans, and is taking this action to make available further temporary relief for Americans because of ongoing global conditions affecting the supply of diesel.  

• Farmers and truckers are essential to the American way of life, feeding families, fueling communities, and sustaining the American people. As restricted global diesel supply, driven by the Russia-Ukraine war and a lack of refining capacity around the world, including Democrat-led States that chose to shut down their refineries in the name of “Green Energy” policies, has led to rising prices, further action is necessary to provide Americans with relief.   
• This action will put money directly back in the pockets of American farmers, truckers, and workers, for example saving truckers over $100 per refill.
• Diesel is taxed based on its intended use. “On-road” or highway diesel is subject to state and federal excise taxes. Diesel used for off-road purposes, such as agricultural, construction, or heating, is not taxed.  This off-road diesel is dyed red so that law enforcement can identify it to enforce penalties and back taxes for on-road use.
• The Administration, and State Governors, can exercise their enforcement discretion to halt inspections and waive the tax liability that users would face for on-road use of dyed diesel.

CUTTING COSTS THROUGH AMERICAN ENERGY DOMINANCE AND SUPPORTING AMERICA’S FARMERS AND TRUCKERS: The Trump Administration’s American energy dominance and economic policies are reducing costs and delivering real benefits to hardworking Americans across the country. 

• Since Day One, President Trump and his Administration have fought to rescind the Biden Administration’s inflation-fueling energy regulations, eliminate red tape, and restore America’s position as the world’s leading energy producer. 
  • As a result, the United States has reclaimed its position as the world’s leading energy producer and exporter, driving economic growth, lowering costs for families, and bolstering our national security. Under President Trump’s leadership, American energy dominance is back. 
• President Trump’s Working Families Tax Cuts delivered for America’s farmers and ranchers, putting their hard-earned money back in their pockets. This historic legislation modernized the farm safety net, expanded market access for farmers, and invested in rural economies. Additionally, the Trump Administration has delivered over $40 billion in direct aid to farmers since January 2025.
• Since President Trump returned to office, the Trump Administration has prioritized American truckers, replacing illegal immigrant truck drivers with American veterans. In that time, American truckers’ earnings have increased by over 7%. 
• The Department of Transportation waived its hours of service rules, allowing truck drivers handling gasoline and diesel shipments to drive additional hours, lowering fuel costs for all Americans.
• In August 2026, President Trump announced the largest oil deal in world history with Venezuela, securing 65 billion barrels of oil to double America’s oil reserves, increase our oil supply, and lower gas prices for all Americans, long into the future.
• In October 2026, President Trump successfully negotiated with Europe to release 100 million barrels of refined diesel from its strategic reserves within the next four months. This will increase supply and bring diesel prices down for Americans.