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Republicans Urge Trump to Ban Diesel Exports

Financial Times Markets •
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Republican lawmakers are pressuring Donald Trump to ban US diesel exports as prices surge to a record $6.51 a gallon, squeezing farmers and truckers ahead of midterm elections. Iowa Senator Chuck Grassley and Representatives Ashley Hinson and Zach Nunn argue that halting exports would prioritize American energy for domestic use and relieve rural economic strain. Grassley stated on X that if the government can embargo chips to China, it can embargo diesel to help farmers and truckers, emphasizing that high diesel prices are killing farm income.

The price increase, driven by Trump’s Iran war and the Ukraine-Russia conflict, has risen over 70% since February 2026, impacting transportation costs and contributing to inflation. Farmers in both the US and Europe face hardship as harvest demand grows, while US manufacturers raise prices due to higher transport expenses. The White House and Department of Energy have not commented on whether an export ban is under consideration.

The US last imposed oil product export controls during the 1970s crises, with crude exports banned until 2015. In 2022, Biden explored refining export restrictions after Russia’s Ukraine invasion but took no action. The American Petroleum Institute opposes a ban, with CEO Mike Sommers warning it would worsen shortages, noting the US supplies 1.5 million barrels daily of the 8 million barrels of diesel traded globally by sea, and removing nearly 20% of that supply could raise global prices.