President Donald Trump stated on Wednesday that he is still evaluating a potential ban on diesel exports, though his tone suggested growing reservations about the measure. While attempting to curb soaring energy costs, Trump noted that prohibiting diesel shipments could inadvertently drive up gasoline prices.
When asked in the Oval Office whether a decision had been made, Trump indicated that his advisors believe the ban might help diesel supplies but could increase costs for other fuel types. He expressed confidence in the current energy landscape, citing a recent rebound in crude oil exports through the Strait of Hormuz.
This comment marks a shift from just three days prior, when Trump described the possibility of a ban as being “very seriously” considered. That initial stance came despite alerts from the U.S. oil industry, which warned that such a restriction would force refineries to reduce output and ultimately raise domestic energy prices.
Trump highlighted that global oil markets are stabilizing, pointing to daily crude exports through the Strait of Hormuz returning to pre-conflict levels this week. The vital waterway had experienced significant shipping restrictions following military actions by the U.S. and Israel against Iran in late February.
Energy Secretary Chris Wright, present during the remarks, told reporters that diesel prices have already begun to decline over the past week and are expected to drop further in the coming days. However, Wright acknowledged that diesel supplies remain tight due to export disruptions stemming from conflicts involving Russia, the Middle East, and China.
“American refiners are running at record highs,” Wright said, adding that new diesel supplies from European markets should help push prices down meaningfully. When questioned about whether he had advised against the export ban, Trump interjected to clarify the administration’s ongoing deliberation.
“No, I think it’s something that we think about and we talk about every day,” Trump said. “But it just seems that it would have a negative impact on gasoline.”
Glad diesel is stabilizing. But if we ban exports, won’t that just hurt our refineries’ profitability in the long run?
Interesting pivot after three days. Did industry lobbyists finally get through to him, or is this just political maneuvering?
So the fix makes the problem worse? Classic policy whiplash. I just want stable prices, not more chaos.