Senate Republicans are openly divided over a proposal to ban diesel exports, an idea championed by farm-state senators who say it would boost domestic supply and bring down prices. The last time Washington took such a step was during the 1970s energy crisis, and the debate now is exposing fresh tensions within the GOP conference.
Sen. Chuck Grassley (R-Iowa) has been among the most vocal proponents, urging President Trump to impose an embargo on diesel exports. In a social media post over the weekend, Grassley asked why Trump wouldn’t act as presidents did in the 1970s, when agricultural export embargoes were used to combat inflated food prices. “High diesel prices ARE KILLING FARMERS INCOME,” he wrote. His push comes as part of a broader effort by farm-state Republicans to address the pain at the pump, a dynamic also seen in Grassley’s calls to halt diesel exports.
Senate Majority Leader John Thune (R-S.D.) has signaled he is open to the concept. He argued that an export ban may make more sense than suspending the federal gas tax, which he warned would blow a hole in the Highway Trust Fund. Still, Thune said the ideal fix would be for Trump to find a way to reopen the Strait of Hormuz, a chokepoint for a quarter of the world’s seaborne oil that has seen traffic dwindle due to Iranian threats. The administration appears to be taking the issue seriously: Agriculture Secretary Brooke Rollins discussed diesel prices with Trump on Monday.
The political stakes are high. Soaring diesel costs are squeezing farmers in states like Iowa, Kansas, and Nebraska, where Democrats now see unexpected pickup opportunities. The combination of Trump’s global trade war—which has hit commodities like pork and soybeans—and rising fuel and fertilizer expenses has left farmers furious, and some Republicans fear a backlash in red states. Rep. Ashley Hinson (R-Iowa), locked in a tight race with Democrat Josh Turek, endorsed a diesel export embargo on Monday and blamed Trump’s prolonged standoff with Iran for driving up fuel costs. “Iowans are being squeezed and shouldn’t have to foot the bill at the pump or the checkout line for the war in Iran,” she posted on X. Hinson also called for suspending the gas tax, pausing diesel exports, and easing restrictions on higher-ethanol blends.
But oil-state Republicans are pushing back hard. Sen. John Cornyn (R-Texas), whose state is the nation’s top oil producer, dismissed the proposal as a “gimmick.” The American Petroleum Institute’s president and CEO, Mike Sommers, warned that pausing diesel exports would “make the problem worse” by creating a supply glut on the Gulf Coast while driving up costs elsewhere due to infrastructure constraints. “Most U.S. diesel production is concentrated on the Gulf Coast, which produces more fuel than the region can consume,” Sommers explained on X. “Meanwhile, other parts of the country rely on imports because of geography and infrastructure constraints.”
Sen. Lisa Murkowski (R-Alaska) initially appeared cool to the idea, then grew more receptive but voiced doubts about its effectiveness. “We actually produce more than we consume here, produce more diesel in this country than we consume,” she said. “We’re talking about global supply, so I worry that we do something in the short-term … that doesn’t really move the needle.” Murkowski, who helped lift the 1970s-era oil export ban more than a decade ago, noted that Alaskans now spend over $3,000 per capita annually on diesel and home heating oil—more than residents of any other state. The surge in diesel costs has also driven up heating oil expenses in the Northeast.
The U.S. maintained an oil export ban from 1975 to 2015, lifting it after the shale boom transformed domestic production. That repeal was supported by now-Sens. Cynthia Lummis (R-Wyo.) and Kevin Cramer (R-N.D.). Some Republicans argue that instead of an export ban, the better move would be to reopen two large refineries in California. “I’d want to see how they would do it,” Sen. Mike Rounds (R-S.D.) said of a potential ban. “The bigger problem we’ve got right now is, as I understand it, in California we’ve already lost two more refineries because of California’s strict environmental rules.”
As diesel prices remain elevated—nationally topping $6.51 a gallon, with California drivers facing $8.42—the intra-party fight is likely to intensify. With record diesel prices threatening GOP midterm prospects, Senate Republicans are under pressure to deliver relief, but the deep divide over how to do it shows no easy resolution.
