‘It’s a gimmick’: Trump’s diesel export limits would face huge problems

Donald Trump is considering a diesel export ban in an attempt to curb record-high gasoline prices. While the president has not yet committed to implementing the limits, his administration is reportedly exploring the idea. GOP candidates in tight races this fall, eager to market cost-cutting measures before the midterms, would likely back the proposal. However, most congressional Republicans are hesitant to support the ban.

Sen. Bill Hagerty, R-Tenn., believes states should lift their own restrictions on diesel production and refining instead of imposing a nationwide ban. US oil executives have also strongly opposed the idea, warning that it will raise global prices. Energy analysts describe the ban as a temporary solution that will likely lead to higher prices overall. Former Federal Reserve economist Skanda Amarnath argues that the ban would promote inefficiency and increase prices, even if it is voluntary.

The ban faces significant opposition within Trump's own party. GOP lawmakers propose alternative solutions such as cutting gas taxes or tapping oil reserves. Sen. Thom Tillis, R-N.C., criticized the ban as a "Band-Aid" that only provides temporary relief. Sen. Susan Collins, R-Maine, suggested releasing heating oil from a federal reserve ahead of winter to help struggling agricultural producers in her state.

Oil-state Republicans are particularly critical of the idea, with Sen. John Cornyn, R-Texas, describing it as a "gimmick" that won't work. The ban could be imposed unilaterally by the Trump administration under the International Emergency Economic Powers Act, but legal experts note that this would be a simple process. Trump would need to declare a national emergency and issue an executive order restricting diesel exports. The order could also allow the Energy Department to make exemptions if necessary.