<p>President Donald Trump stated he has called for a ban on diesel exports as his administration considers options to address high fuel prices influenced by conflicts in the Middle East and Europe.</p>
<p>“I’ve called for that too. I’ve said, let’s not send out the diesel,” Trump told reporters at the U.N. General Assembly in New York.</p>
<p>“We make a lot of diesel. It could have a little bit of an effect on regular automobile gasoline because when you do that, you know it’s a sort of a flow. It’s a balance,” he added.</p>
<p>Trump indicated that a decision would be made “fast, one way or the other.”</p>
<p>The United States is currently experiencing record-high diesel prices due to supply chain constraints stemming from the wars in Iran and Ukraine. Trump made his remarks alongside Cabinet members and Ukrainian President Volodymyr Zelensky.</p>
<p>Treasury Secretary Scott Bessent mentioned that the administration is evaluating the feasibility of a ban based on overall refining capacity and whether a full or partial ban would be effective.</p>
<p>As of Tuesday, the national average price of diesel reached $6.52 per gallon, marking a record high. High diesel prices are impacting key economic sectors, including agriculture, as diesel powers trains, trucks, heavy machinery, and other equipment.</p>
<p>Recently, more Republicans have urged the president to implement a ban on diesel exports, particularly those representing agricultural states.</p>
<p>Senator Chuck Grassley (R-IA) called on the president last week to impose an embargo on diesel exports to help reduce prices, highlighting concerns that farmers and the agricultural sector would face rising costs due to high fuel prices.</p>
<p>Representative Ashley Hinson (R-IA), who is running for Senate against Democratic nominee Josh Turek, stated that Republicans should “use every option at our disposal to provide some relief from high prices.” Hinson also advocated for a gas tax suspension, the use of higher-ethanol fuels known as E15, and the creation of relief programs for farmers and truckers.</p>
<p>Governor Jeff Landry (R-LA) has requested the administration to impose a 90-day ban on U.S. diesel exports.</p>
<p>Senate Majority Leader John Thune (R-SD) expressed a willingness to consider a ban during a recent press conference.</p>
<p>However, fuel experts have cautioned against banning diesel exports, suggesting that such a move could have unintended consequences.</p>
<p>Garrett Golding, assistant vice president for energy programs at the Federal Reserve Bank of Dallas, noted that while a diesel ban could temporarily lower wholesale prices in the U.S., particularly in the Gulf Coast, it would ultimately reduce global supply and increase diesel and distillate prices, affecting regions reliant on imports, such as the East Coast.</p>
<p>Golding also mentioned that refineries unable to export diesel would quickly exhaust storage space and may need to reduce their production rates.</p>
<p>GasBuddy analyst Patrick De Haan echoed these concerns, stating, “An export ban could temporarily depress Gulf Coast diesel prices, but there’s no guarantee that relief reaches the regions with the highest prices, and over time it could cut refinery runs and tighten supplies of other fuels, gasoline included.”</p>
<p>The ongoing conflict in Iran has disrupted fuel shipments through the Strait of Hormuz, a critical trading waterway. Additionally, Russia has halted its diesel exports, a restriction expected to extend beyond the end of the month, as Russia previously accounted for nearly 10% of global seaborne diesel supplies. Ukraine has also targeted key Russian refineries.</p>