Trump says he is considering suspending federal gas tax ahead of midterms

President Donald Trump said Tuesday that his administration is considering suspending the federal gas tax, as his administration looks for ways to ease high energy costs ahead of November’s midterm elections. “Well, we’re thinking about that,” Trump told reporters at the White House when asked whether the tax would be suspended. Bloomberg reported he did not offer additional details about how seriously the idea is being considered or any steps to further the proposal in Congress. [ 2 , 4 , 5 ]

Any suspension would require an act of Congress — the president cannot unilaterally suspend the federal tax, The Guardian US reported — and both the House and Senate are not scheduled to return until after the election, according to the New York Post. The federal gas tax adds 18.4 cents to every gallon of gasoline and 24.4 cents per gallon of diesel, the New York Post reported, and finances highway and bridge maintenance. The Guardian US said dropping it would cut about 4% from the price of a gallon of regular and that the tax brings in more than $23bn a year for highways and public transit. [ 4 , 5 ]

The remarks come as pump prices remain high. The New York Post, citing AAA data, put the national average for regular gasoline at $4.37 a gallon, up from $3.13 a year earlier, and diesel at $6.32 a gallon, down from an all-time high of $6.53 on Sept. 22 but still nearly double the $3.68 paid a year ago. The Guardian US, also citing AAA, reported the national average for regular at $4.3685 a gallon on Tuesday, more than a dollar above a year earlier. The New York Post attributed the increases to the Iran war and Ukrainian attacks on Russian refineries; The Guardian US said the idea was first raised in May as the Iran war pushed fuel prices sharply higher. [ 4 , 5 ]

Other measures are already in motion. Trump on Monday signed an executive order allowing truckers to purchase tax-free “red dye” diesel through Dec. 31, the New York Post reported, and G-7 nations including the UK, France, Germany, Italy, Canada and Japan collectively agreed Friday to release 100 million barrels of oil and diesel from strategic reserves. Both Republican- and Democratic-led states have passed temporary waivers of their gas taxes, the New York Post said, citing Ohio Gov. Mike DeWine’s waiver of the state’s 38.5-cent gas tax and 47-cent diesel tax through Dec. 31, Utah Gov. Spencer Cox’s 6-cent reduction through the end of the year, and Georgia Gov. Brian Kemp’s suspension through at least Oct. 29. [ 4 ]

The proposal lands a month before the midterms. The Guardian US described the remark as a sign the president is noticing voter anger over fuel costs that threatens Republican hopes in November. Asked about the midterms, Trump said he expected Republicans to “do very well” and that his rallies were “changing things around” because voters were hearing “what the Republicans have done”. He said “Prices are now coming way down,” adding that oil would come down “as soon as the war is over, which will be soon”; The Guardian US reported he gave no date for the end of the war and did not say how a tax suspension would pass Congress. [ 5 ]