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Trump lifts taxes on dyed diesel

WLJ
Oct. 09, 2026 1 minute read
Trump lifts taxes on dyed diesel

On Oct. 5, President Donald Trump issued an executive order to ease limits on the use of tax-exempt dyed diesel fuel. The order will apply through the end of the year.

“Allowing dyed diesel fuel to be used over-the-road will bring welcome relief for farmers because every cent per gallon matters when you’re running a fleet of grain trucks or hauling cattle hundreds of miles,” said American Farm Bureau Federation President Zippy Duvall. “The federal highway diesel tax is currently more than 24-cents per gallon, so it’s a big deal to farmers to be able to use tax exempt diesel more broadly to get their harvest to market.”

The Montana Department of Transportation has indicated that the state’s ban on dyed diesel on public roads will remain in effect.

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October 12, 2026