By Breitbart News Network | Created at 2026-10-06 05:11:57 | Updated at 2026-10-06 06:39:20
3 hours ago
President Donald Trump signed an executive order Monday at his rally in Grand Island, Nebraska, temporarily permitting red-dyed off-road diesel on highways and postponing federal excise tax payments on that fuel through the end of 2026 without interest or penalties.
“Today I’m announcing another unprecedented step to bring down costs,” Trump told the crowd. “For many years, farm vehicles, construction equipment, and other off-road vehicles have used what is known as red dye diesel. Tonight, I’m going to sign a historic executive order to officially waive the off-road requirement and allow anyone to purchase tax-free red-dyed diesel for any reason.”
Trump called for his executive assistant, Natalie Harp, to bring the order onstage, declaring, “I’ll sign it right here!”
Addressing Sen. Pete Ricketts and Nebraska Gov. Jim Pillen, Trump said, “This should absolutely assure your election. I guarantee it.”
“You two guys were great. You stuck with us, and we have to. Otherwise, we’re not going to have a country anymore. So I appreciate it, and I’m going to sign this,” Trump continued.
“I’m going to do what Joe Biden couldn’t do: sign his signature,” he added.
The White House said the federal diesel tax is 24.4 cents per gallon, or approximately $60 on a 250-gallon fill. Savings would exceed $100 per fill “[w]here states match this federal action,” according to its announcement.
The order directs the Treasury Secretary, in consultation with the Secretary of War, to defer the federal excise tax imposed on highway use of dyed diesel through the end of the year without interest or penalties and “to explore pathways to eliminate the obligation to pay the deferred taxes,” according to a White House fact sheet. It also directs federal officials to coordinate fuel access and encourage corresponding state action.
The fact sheet explained that highway diesel is subject to state and federal excise taxes, while off-road diesel used for agriculture, construction, or heating is untaxed. The off-road fuel is dyed red so law enforcement can identify it when enforcing penalties and back taxes for highway use.
The White House attributed elevated diesel prices and restricted global supply to the Russia-Ukraine war and insufficient refining capacity worldwide, also faulting “Democrat-led States that chose to shut down their refineries in the name of ‘Green Energy’ policies.”
Agriculture Secretary Brooke Rollins welcomed Monday’s order.
Vice President JD Vance stated, “Another example of President Trump acting quickly to tackle an urgent issue. In this administration, we’re fighting every day to help hard working Americans, especially our farmers.”
Susie Wiles also praised the action.
Trump gave Iowa gubernatorial candidate Zach Lahn a shoutout alongside Nebraska Gov. Jim Pillen and Sen. Pete Ricketts while crediting their work on the diesel measure.
He thanked Pillen “for his leadership on this,” adding, “He worked with us—very strong.”
“A lot of senators would not have been able to do what Pete was able to do,” Trump said, before adding, “Along with Iowa gubernatorial candidate Zach Lahn.”
Lahn wrote on X that he had proposed the relief during a conversation with Vance.
OANN Chief White House Correspondent Daniel Baldwin described the crowd at Trump’s Nebraska rally as “outrageous.”
“The expo center is mobbed. Thousands of people outside. Americans were lining the streets during the motorcade,” he wrote on X. “Massive support for President Trump here.”
