Trump weighs diesel export ban, warns on gasoline prices

US President Donald Trump said Wednesday he is considering a ban on diesel exports but warned that the measure could push up gasoline prices, according to remarks at the White House following an announcement on South Korean energy investments. He regularly discusses the option with Energy Secretary Chris Wright and Interior Secretary Doug Burgum.

"I'm thinking about it," Trump said when asked whether he had decided to implement the ban, noting that Wright and Burgum believe a ban could help lower diesel prices but might increase prices for other products, including gasoline. He said he expects oil prices to begin falling, citing what he described as large volumes of oil passing through the Strait of Hormuz.

Russian disruptions drive shortage

Trump attributed diesel supply problems primarily to disruptions at diesel refineries in Russia amid the war in Ukraine, rather than developments in the Middle East. Russian diesel refineries are being taken offline at an alarming pace, he said, arguing that the disruption has been the biggest factor behind the diesel shortage.

Wright said the administration has been working daily for weeks and months to address the issue, noting that diesel prices declined last week and he expects further substantial reductions. According to the American Automobile Association, the average US diesel price reached a record $6.53 per gallon on Sept. 22 before easing to $6.41 on Sept. 30.