Vice President JD Vance said Tuesday that the Trump administration will invoke the Defense Production Act to expand fuel production at a refinery in Tyler, Texas, a move aimed at tackling persistently high energy prices that have become a political headache for the GOP ahead of the midterm elections.
Speaking at a rally in Texas, Vance framed the decision as a direct response to the economic strain caused by elevated gasoline and diesel costs. "I am pleased to announce that the Trump administration, working with the refinery at Delek, has used the Defense Production Act and we're going to expand the refinery right here in Tyler, Texas," he said.
Vance promised that the expansion would deliver "millions of gallons of commercial-grade and military-spec fuel" from the facility, supplementing its current output. The Defense Production Act grants the president sweeping authority to prioritize or incentivize production of goods deemed essential to national security.
The announcement comes as the average price for a gallon of gasoline hovers around $4.34, with diesel at $6.28, according to AAA data cited by The Hill. Those numbers have fueled voter frustration and given Democrats an opening to attack the administration's energy policies, especially as Vance campaigns aggressively to protect the GOP's House majority.
It remains unclear whether the White House plans to extend the Defense Production Act beyond this single refinery. The Hill has reached out to the administration for clarification, but no further details have been provided.
Energy analysts, however, are skeptical that the move will provide immediate relief. Andy Lipow, president of Lipow Oil Associates, told The Hill last week that refineries already operating are producing at maximum capacity. "There's very little that the administration can do today to get more diesel fuel out of the refineries that are already in operation," he said.
Lipow suggested that the administration's options are limited to long-term investments: "You can send more money to the refineries that are in operation so they can make investments to produce more diesel months and years down the road, or you can see if there's an opportunity to restart some of the refineries that have been recently shut down, or you can build new refineries."
The high prices stem in part from the ongoing war in Iran, which has disrupted oil markets and weakened energy infrastructure in the Middle East. Additionally, Ukraine has targeted Russian refineries as the two countries continue their prolonged conflict, further constraining global supply.
Vance's announcement is part of a broader administration push to project action on energy costs, even as critics argue that invoking wartime authority for a single facility is more symbolic than substantive. The political stakes are high, with Vance already positioning himself for a potential 2028 bid, and his handling of this issue could shape his reputation among voters.
As the midterms approach, the administration is betting that the Texas refinery expansion will signal to voters that it is taking concrete steps to address affordability—even if the immediate impact on pump prices remains limited.
