A newly signed executive order officially waives the off-road requirement for red-dye diesel. This allows anyone to purchase the fuel tax-free to lower costs.
President Donald Trump is giving truckers a new way to fight pain at the pump, signing an executive order that temporarily lets them fill up with red-dyed diesel normally barred from highway use.
“They’re going to be very happy in about two seconds,” Trump said during remarks in Grand Island, Nebraska, before announcing the relief.
The order allows off-road diesel on highways and defers the federal excise tax through year’s end without interest or penalties, according to the White House.
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A fuel pump at a Love’s gas station in Loxley, Alabama, on Thursday, Sept. 3, 2026. (Micah Green/Bloomberg/Getty Images / Getty Images)
The administration estimates truckers could save more than $100 per refill.
“So tonight I’m going to sign a historic executive order to officially waive the off-road requirement and allow anyone to purchase tax-free red-dye diesel for any reason,” Trump said.
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The record diesel prices come as President Donald Trump and Republicans campaign on affordability ahead of the midterms, creating a direct test of the administration’s promises to lower energy costs. (Andrew Harnik/Getty Images / Getty Images)
Trump called the fuel “tax free,” but the order postpones the federal tax payment while directing Treasury officials to explore eliminating the deferred bill.
The Treasury secretary will carry out that directive in consultation with the secretary of war, according to the White House fact sheet.
Red-dyed diesel typically powers farm equipment and construction machinery. Its color helps authorities spot highway use without payment of applicable taxes.
The temporary change makes that fuel available for highway use as the administration seeks to lower costs for truckers, farmers and workers.
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A diesel fuel pump sits in a cradle at a gas station in Princeton, Illinois, on Wednesday, Sept. 23, 2015. (Daniel Acker/Bloomberg via Getty Images / Getty Images)
The White House cited restricted global diesel supplies and limited refining capacity as reasons for the move, pointing to the Russia-Ukraine war and blaming refinery closures in Democrat-led states on green energy policies.
The order also addresses access to the fuel. It directs the Transportation Department to coordinate with states, industry leaders and labor organizations, while the Agriculture Department is tasked with ensuring farmers have supplies in high-demand areas.
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State tax relief would require corresponding action. The order directs White House intergovernmental affairs officials to encourage more states to adopt policies that align with Treasury’s measures.
Trump also used the signing to jab at former President Joe Biden.
“I’m going to do what Joe Biden couldn’t do,” Trump said. “Sign his signature.”
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The diesel order follows other steps the administration says are intended to ease fuel costs, including a Transportation Department waiver allowing truck drivers hauling gasoline and diesel to drive additional hours.
The White House also said Trump negotiated an agreement with Europe this month to release 100 million barrels of refined diesel from strategic reserves over the next four months, aiming to boost supply alongside the temporary tax relief.
