President Donald Trump is weighing a diesel export ban to calm soaring fuel costs. Still, America’s most influential business lobbies say the idea would backfire badly and leave consumers paying more at the pump.
US business and energy groups warn about the impact of diesel export ban
Major U.S. business groups gave a warning to Donald Trump this week: banning diesel exports would push prices up, not down. The U.S. Chamber of Commerce, Business Roundtable, National Association of Manufacturers, American Petroleum Institute and dozens of other organizations made the case in a joint letter delivered on Wednesday.
They told the president that restricting exports would “lead to less fuel production, tighter supplies and rising costs for American families, farmers and truckers.” Further adding, “You have been asked by some to ban or limit the export of diesel to help lower prices, when in fact the opposite would occur” (via CNBC).
Political pressure is driving the debate. Republican lawmakers from farm states such as Iowa want action on fuel costs before the midterm elections. Diesel averaged $6.51 a gallon nationwide Thursday, up $2.82 from a year earlier, according to AAA.
Moreover, Trump confirmed on Tuesday that he has pushed the idea internally. “I’ve said let’s not send out the diesel. We make a lot of diesel,” he told reporters at the U.N. General Assembly in New York. “I’ve called for it within my people. I’ve been talking about it.” The remarks blindsided the oil industry and business community. A Politico report that the White House was drafting a 90-day ban sent diesel futures and refiner shares tumbling on Wednesday.
Treasury Secretary Scott Bessent said officials are studying whether a ban is “feasible in terms of the overall refining capacity and whether a full or partial ban would work.” Energy Secretary Chris Wright, however, downplayed the prospect. He told The New York Times that “nobody wants a full blanket ban or zero exports of diesel,” adding that discussions center on moving more diesel into the U.S. while keeping other fuel flows steady.
All in all, energy experts caution that a ban would briefly sink diesel prices in some regions before refiners cut output and costs climb again. Global supplies are already stretched: Ukraine’s strikes on Russian refineries pushed Moscow to halt exports, while attacks by Iran and its Houthi allies have disrupted Middle East refining and Strait of Hormuz shipments.
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from Reality Tea https://www.realitytea.com/2026/09/25/donald-trump-diesel-export-ban-commercial-business-warning/
