Why a diesel export embargo won’t help struggling farmers
Are we getting a diesel export ban? Time will tell.
TL;DR
- Farmers are facing significantly higher diesel costs, impacting their profitability.
- Some politicians support a diesel export ban to provide relief to farmers, particularly in agricultural states.
- Energy Secretary Chris Wright opposes an export ban, stating it would harm the refining industry and potentially increase prices for other fuels.
- Refineries produce diesel, gasoline, and jet fuel concurrently, meaning a diesel export ban could disrupt the supply of all fuels.
- The administration has taken other steps to help farmers, including a right-to-repair settlement with John Deere and a temporary executive order on diesel taxes and usage.
- Critics argue that an export ban is a "gimmick" that could cause "massive harm" to the refining industry.
- The article suggests that fostering increased fuel supplies through voluntary cooperation is a better solution than a restrictive export ban.