Tax-exempt diesel expanded for wider access as Donald Trump signs special executive order in Nebraska. How will it benefit Americans?

US President Donald Trump signed an executive order on Monday to expand access to tax-exempt diesel. Trump signed the order on stage during a rally in Nebraska, saying the directive will waive off-road requirement and allow anyone to purchase tax-free so-called red dye diesel. Diesel fuel prices have spiked in the aftermath of the Iran war, rattling voters and putting pressure on Republicans. The dyed diesel fuel is exempt from federal and state excise taxes. Temporarily removing the limits would reduce cost pressures on the businesses that rely on diesel.

High diesel prices, which shot to a record of about $6.50 a gallon last ​month, are a risk to Trump ahead of ​the November 3 elections. Prices for the fuel integral ⁠to trucking goods have risen in response to the ​wars in Iran and Ukraine which have led to attacks ​on refineries in Russia and the Middle East.

The order includes a variety of ways to expand access to diesel ​which could include making more available so-called red dye diesel ​fuel which is used by the agriculture industry and by some off-road ‌vehicles, according to reports.




Donald Trump Diesel Order

President Donald Trump took his Republican midterm rescue mission to Nebraska, where he signed an executive order to ease limits on the tax-free use of red dye diesel, a decision he said would save 'millions' for farmers and drive down the cost of all goods with just four weeks to go until the elections.

"Pete and Jim, this should absolutely ensure your election, I guarantee you that," Trump said, addressing GOP Governor Pete Ricketts, who is running against an independent candidate backed by national Democrats, and Governor Jim Pillen, who is seeking a second term.

"The typical trucker will save more than $100 every time they fill up," Trump said, signing the executive order onstage before a crowd in Grand Island, Nebraska, located in the solidly conservative south-central part of the state. "Farmers will also save millions and millions of dollars, and this order will also drive down the cost of all goods and to go to grocery prices very substantially," Trump said.

G7 countries ​announced last week ​that they ⁠would release 100 million barrels of diesel, after pressure from Trump who had considered banning ​US exports of the fuel. But it was ​not ⁠clear how much of that release would be entirely new supplies or compliance with a global agreement in March.