Trump Allows All Americans to Buy Tax-Exempt Diesel
Amman2 min read
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President Donald Trump signed an executive order on Monday allowing all American citizens to use red-dyed diesel, a tax-exempt fuel typically intended for agricultural machinery and other equipment used off public roads.
This move comes as high fuel prices, linked to the war with Iran, cast a shadow over the Republican Party, just weeks before the midterm elections.
In a rally in Nebraska, Trump told his supporters that the decision will "officially eliminate the off-road use requirement and allow anyone to buy tax-exempt red-dyed diesel for any purpose"
The American president admitted that he did not know much about this fuel and jokingly said, "I don't know what it is (...) but whatever it is, it should be very good"
Red-dyed diesel is the same fuel used in regular diesel, but it is exempt from highway fuel taxes.
A White House fact sheet released in conjunction with Trump's executive order attributed the rise in prices to the Russia-Ukraine war and a global shortage in refining capacity, without mentioning Iran.
It also accused Democratic-led states of closing refineries in the name of green energy policies.
Diesel prices in the United States have reached record levels exceeding $6 per gallon in recent weeks, amid export restrictions imposed by Russia, a major supplier, following Ukrainian attacks on its oil facilities, adding pressure to global markets.