Could Washington Ban Diesel Exports? What Truckers Need to Know

On Tuesday, President Donald Trump announced his intention to consider banning diesel exports. Treasury Secretary Scott Bessent stated that officials are examining whether such a ban would be effective without harming U.S. refining. The president emphasized that a decision would be made swiftly, either in favor or against. Diesel prices have skyrocketed to new highs, averaging $6.53 per gallon nationwide, with some states experiencing even higher costs.

The high fuel prices are causing significant hardships for farmers, grocery distribution, and long-haul freight operations. Republican lawmakers from Iowa, Alaska, Tennessee, and other states have called for a temporary halt to diesel exports. Bills have been introduced that would suspend diesel exports until early 2027 or impose a ban whenever the national average reaches $5 per gallon.

The underlying principle is that the U.S. produces more diesel than it consumes domestically. Refiners have been exporting large quantities of diesel, sometimes more than a million barrels daily, and occasionally up to 1.6 million barrels. Proponents argue that retaining this fuel within the country would replenish inventories and reduce prices at the pump for truckers and farmers.

However, opponents, including oil companies and some of Trump's own energy officials, contend that the opposite might occur. If refiners lose their export market, they may reduce overall production, potentially resulting in lower gasoline and diesel supplies as well. This would be the first substantial restriction on U.S. energy exports since Congress repealed the old crude oil export ban in 2015.

Congress no longer has the authority to issue such bans. The main legal tool for this would be the International Emergency Economic Powers Act, or IEEPA, a statute enacted in 1977 that allows the president to regulate or block cross-border transactions during a declared national emergency. Presidents have often used IEEPA for sanctions and export controls, but not for levying taxes.

In 2025, President Trump invoked IEEPA to impose tariffs on Canada, Mexico, and China, citing threats from fentanyl and border issues. He later utilized the same law for tariffs due to a declared emergency over the U.S. trade deficit. In a significant ruling, the Supreme Court declared in February 2026 that IEEPA does not authorize tariffs.

The Court ruled that Congress, and not IEEPA, holds the power to levy duties. Although the decision limited the scope of IEEPA to trade restrictions, it did not eliminate the statute's ability to prohibit exports if the emergency condition is met.