Trump weighs diesel export ban as on-highway diesel hits record $6.53 a gallon
President Trump said Tuesday he has told his team to consider banning diesel exports, and for anyone who buys or hauls fuel that is the item to track this week. Treasury Secretary Scott Bessent said officials are studying whether a full or partial ban would work without hurting U.S. refining. Trump said a decision would come fast.
The number behind the pressure: the national average for on-highway diesel is about $6.53 a gallon this week, a record, roughly $3 higher than a year ago.
An export ban sounds like it should pull that price down. It may not. Energy Workforce warned that cutting off exports could force Gulf Coast refiners to cut production, since those plants run at rates built around selling diesel abroad. Less crude processed means less of everything, gasoline included. Morgan Stanley made the same point from the other end: a diesel export ban could push U.S. gasoline prices up. Energy Workforce wants temporary tariff relief on critical energy components instead of a ban.
So the tool aimed at diesel could lift both fuels. Watch what "partial" ends up meaning, because the details decide whether this helps a hauler or costs him.
Casey's buys ASAP Energy
ASAP Energy is exiting the c-store business, selling to Casey's. Casey's keeps buying its way across the map, and each deal like this takes independent sites off the board. If you jobber-supply stores in ASAP's footprint, your customer just became a chain that runs its own fuel supply.
Two other retail moves worth a glance. Walmart extended its fuel-savings program to CITGO stations, widening where its members can discount gas. Yesway said it will open its first Arizona store in October, part of a plan to add 130 new stores over five years.
Ilsky refinery hit
A drone attack set off a fire at Russia's Ilsky refinery in Krasnodar Krai overnight, with Ukrainian and Russian channels reporting explosions. It is one of a string of strikes on Russian refining. Each hit trims the diesel and gasoline Russia can export, which tightens the global product market that U.S. prices answer to. That backdrop is part of why diesel is where it is.
Crude eases
Oil prices fell about 2% as the U.S. and Iran explore a way out of their war. A cooling there takes some risk premium out of crude, which could ease pump prices if it holds. Working the other way, Baker Hughes put the U.S. rig count at 599, up 50 from a year ago, with oil rigs at 455. More rigs now means more domestic supply later, not this week.
What to watch
The export-ban decision is the one that moves your costs. If it lands as a full ban, expect Gulf Coast run cuts and a fight over whether diesel or gasoline takes the bigger hit. If it comes in partial, or gets shelved for tariff relief, the record diesel price stays driven by tight global product supply and the strikes on Russian refineries. Watch Bessent's study and whether the U.S.-Iran talks hold.