President Donald Trump has signed an executive order to expand access to tax-exempt red-dyed diesel, primarily used in farming and construction, in an effort to lower high diesel costs across the country.
What happened
The executive order waives the off-road requirement for tax-exempt red-dyed diesel, allowing any driver of a diesel-powered vehicle to purchase it. Red-dyed diesel is sold tax-free for off-road vehicles and big trucks, and gets its name from the dye used to show it is exempt from highway excise taxes.
Trump signed the order on stage at a campaign rally in Nebraska, where he explained the purpose of the move. He directed White House aide Natalie Harp to hand him the executive order, which he promptly signed. The president also mocked former President Joe Biden for using an autopen to sign orders when he was in office.
The move is meant to bring down high diesel costs ahead of the midterm elections. Trump also blamed high gasoline costs on Ukraine’s strikes against Russian oil refineries, stating that the destruction of refineries is driving up gasoline prices.
