Trump administration to expand a Delek Texas refinery using Defense Production Act

Vice President JD Vance announced on Tuesday that the Trump administration intends to utilize the Defense Production Act to expand the processing capabilities of a refinery in Tyler, Texas owned by Delek US Holdings. This decision comes amid White House efforts to address fuel prices, which have become a crucial concern for voters leading up to the November midterm elections.

The administration's strategy includes increasing diesel supply, a move that has faced criticism from both Democrats and Republicans. Speaking in Texas, Vance stated that the expansion will result in an increase in both commercial and military-spec fuel production, leading to reduced costs for travelers and daily commuters. The Tyler refinery, located approximately 200 miles north of Houston, currently processes around 74,000 barrels of oil daily per day.

While the White House and Delek have not disclosed the funding allocated to the expansion or the increase in refining capacity, it is expected that Trump will soon issue a directive to bypass state and local regulations in order to expand refining capacity using the Defense Production Act.