Trump Allows Cheaper, Dyed Diesel to Be Used in Nonfarm Vehicles
President Trump said on Monday that a special kind of diesel fuel typically reserved for farm operations can be used more broadly, a measure aimed at easing fuel costs as average diesel prices surpassed $6.30 a gallon nationwide.Campaigning in Grand Island, Neb., in support of Senator Pete Ricketts, Mr.Trump said he was signing an executive order to allow the tax-free purchase of so-called red-dyed diesel, which is mainly used in agriculture and construction.
While the text of the order was not immediately available, he said it would “officially waive the off-road requirement and allow anyone to purchase tax-free, red-dyed diesel for any reason.”Mr.Trump’s announcement followed action taken by almost a dozen governors across the Midwest and South over the last two weeks to permit dyed diesel fuel in road vehicles.
Some governors are also suspending state taxes on dyed diesel.Dyed diesel is no different from regular diesel, except it contains a small amount of dye, usually red and added by the refiner.But it is exempt from the federal 24.4-cent-per-gallon federal highway tax and some state taxes that are used to fund road construction and maintenance.Dyed diesel normally cannot be used in road vehicles and is not available at most gas stations or truck stops; the dye is added so inspectors can more easily tell if it is being used unlawfully on the road.Many farmers say they have been financially bruised by Mr.
Trump’s tariff policies, along with rising prices, and the president is trying to shore up support with rural voters before the midterm elections.In Nebraska, Mr.
Ricketts, a Republican, is locked in a tight race with the independent challenger Dan Osborn, and recent New York Times/Siena polls have shown Republicans trailing in key races across Kansas, Iowa, Texas and Ohio.Farmers and ranchers are typically a strong voting bloc for Republicans.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Tha...