Posted on 09/23/2026 10:47:32 AM PDT by Miami Rebel
President Donald Trump’s administration is reportedly preparing to institute a 90-day ban on diesel exports amid soaring prices, despite Energy Secretary Chris Wright saying such a move would not bring down prices. Wright, in fact, warned a ban could actually make the situation worse in the long run.
Politico reported on the upcoming ban on Wednesday, citing “five people familiar with the discussions” inside the administration.
“The blunt tool of banning diesel exports definitely doesn’t work,” Reuters reported Wright saying on Wednesday while at an event hosted by the Economist in New York.
“If you can’t export the diesel that comes out of our refineries, you run out of places to store it, and you have to reduce US refining, which would put upward pressure on gasoline prices and jet fuel prices,” Wright added, explaining his thinking. Wright is the former CEO of Liberty Energy, an offshore oilservices company he founded.
Diesel prices have hit a record high in the United States as Trump’s war in Iran has dragged on and caused global energy shocks. The average diesel price per gallon in the U.S. was $6.52 on Wednesday, which is up a whopping 76% year over year, reports AAA.
Politico noted that the “legal process” on the export ban is still in the works, adding that the move “has created splits inside the administration and with the oil industry, which has warned that any short-term benefit would be outweighed by higher fuel prices in the future. Any halt to shipments would be the first restriction on U.S. energy exports since the Obama administration lifted a decades-old ban on oil exports in 2015.”
I honestly thought Trump would ban diesel, gasoline, and oil exports long by now. I’m not for it, just saying it’s what I expected.
This would make things monumentally worse. Refineries would be forced to slow down production. You can’t just store Diesel. You also make gas right along side it and that would have to slow down as well. Other products would also be impacted.
Then what do you do about areas that are reliant on imports vs. local production? While you would see temporary relief in some areas others would suffer.
Then you have the risk of more retaliation across other sectors. This would be a bad, bad thing.
Can someone explain to me, why with all the available gas and oil in this country and now from other countries why the price up esp that there is oil going through the Strait.
Only a fraction of shipping is going through the Strait of Hormuz vs. what was previously. The costs to move it is also much much higher. From insurance to ship rental costs. That all pushes the price up. There are also other factors that have been bringing the price up. Ukrain/Russia conflict being one of them.
100% correct. There would be an initial drop, as a temporary glut develops
Refiners would cut runs (which would also immediately increase gasoline prices). The world price would then spike, and clever traders and producers would then start diverting cargos elsewhere.
It would also screw up all oil companies finances and oil hedge-books in the medium to long term.
Oil trades on an international market irrespective of where it’s produced.
At least part of the reason is the US doesn’t have monopolistic ability to set prices. Factor in the world. The main spot oil prices are Brent (north sea), WTI (texas) and Murban (middle-east). All combine to set spot prices. Factor in that at least a portion of the oil supply is fungible, to an extent (given that the 3 main supplies have different characteristics, Sweet/Sour, sulphur).
Won’t this hurt our Texas and Gulf industries?
Trump is favoring consumers over producers to win an election. That’s what socialists do. What’s next — restricting an export, or price control, every time its price rises due to developments abroad?
As in everything at this juncture, he’s between a rock and a hard place.I just put in order at Walmart.com that should have free shipping. Everyday items. 9 of 10 are “unavailable.”
Dumb ideas should stay with socialists where they belong.
How can you be producing more than you can consume, and prices are going up?
Demand for fuel is inelastic.
The US exported over ten million barrels last year. As I indicated earlier, oil trades internationally: the price is set by the highest marginal bid from anywhere on the globe.
Stores are putting in wifi price tags on their shelves so they can just increase prices on the fly.
Stores are putting in wifi price tags on their shelves so they can just increase prices on the fly.
No. Diesel can be stored 6 months to one year. Up to 2 years if treated right.
Google AI.
That’s another reason it’s nice to just shop frm home, you don’t have to worry about price increase between walking in and checkout. I’m assuming it’s now just too expensive to transport those goods for free.
Where? That is the problem. Where can they store it? What is available for that?
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