U.S. diesel prices hit a record $6.51 on Monday, with top Republicans pressuring the Trump administration to ban exports.
U.S. retail diesel prices surged to a record high of $6.51 per gallon on Monday, marking an increase of over 70% since February before the outbreak of the Iran war. Republican lawmakers from agricultural states are collectively pressuring the Donald Trump administration to ban diesel exports to alleviate fuel cost burdens for farmers and truck drivers. Iowa Senator Chuck Grassley and others have publicly urged a halt to exports, while Tennessee Representative Tim Burchett has even proposed legislation demanding an immediate export ban until January 2027, or the implementation of a price trigger mechanism. The White House has explicitly rejected this proposal, with an official stating that the administration is not considering export bans or restrictions. However, energy consulting firm Rapidan Energy predicts that the probability of the White House implementing an export ban has reached 35%. The U.S. oil industry strongly opposes such measures, warning that export restrictions would exacerbate the problem, but the market remains highly vigilant regarding the risk of a policy shift.
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