10
Loading video...
By Alex Backus
Editor
0
Share
Newsweek is a Trust Project member
See more of our trusted coverage when you search.Prefer Newsweek on Googleto see more of our trusted coverage when you search.
States are taking steps to ease the burden of high gasoline and diesel prices as President Donald Trump said Monday that fuel prices will fall once the Iran war is over.
“Iran will never have a nuclear weapon—we’re going to win that war very soon, it’ll be over and the gas prices will come tumbling down,” Trump told reporters Monday at the White House.
Drivers nationwide are continuing to feel the pain at the pump, paying an average of $4.48 a gallon for regular gas and $6.45 for diesel, according to AAA.
Read More on News
California, where regular gas averages $6.37 a gallon and diesel $8.40, and Georgia both announced new measures Monday to lower costs as several other states have taken additional steps to ease the cost of diesel.
...
California Governor Gavin Newsom suspended the state's seasonal summer-blend gasoline requirement for the remainder of the season, allowing winter-blend gasoline to be produced and sold immediately. The summer blend—more environmentally friendly and more expensive—would otherwise have been in place until October 31.
“Families are paying more to fill their cars, farmers more to grow our food, and truckers more to get it to market,” Newsom said in the order.
Georgia Governor Brian Kemp declared a state of emergency and suspended the state's motor-fuel tax for 30 days. The suspension eliminates the state's 33.3-cent-per-gallon tax on gasoline and 37.3-cent tax on diesel.
“We've remained committed to helping [Georgians] and our small businesses fight through the tough times, and that's why I'm taking this action today to give further relief,” Kemp said in a statement.
The order also suspends commercial vehicle weight limits to help lower transportation costs that can drive up prices for everyday goods, including groceries.
Massachusetts Governor Maura Healey is pursuing similar relief, and announced plans on September 22 to file legislation that would temporarily suspend Massachusetts’ gas tax for two months. The proposal needs legislative approval.
Meanwhile, Texas, Alabama, Louisiana and Nebraska have also temporarily relaxed restrictions or penalties involving tax-exempt dyed diesel, which is normally reserved for off-road uses such as farming.
South Dakota has also eased hauling restrictions for farmers during harvest, allowing them to carry agricultural commodities at 10 percent above normal weight limits.
Several other states have also taken steps in recent months to ease costs, including Illinois, Indiana, Kentucky and Utah, which have cut or frozen gas taxes.
Related Story
Where Gas Price Relief Measures Stand in 17 States as Costs Surge
AAA said the month is on track to set a new September record.
“Typically, the start of autumn brings lower gas prices, but lingering volatility in the Strait of Hormuz and the high cost of crude oil are driving up pump prices,” AAA said in a statement.
The Trump administration is considering a temporary ban on U.S. diesel exports to bring costs down for drivers. Last week, Trump and Secretary Scott Bessent said the administration is exploring whether a partial or full restriction would be feasible, saying a decision was expected soon.
As the world’s top diesel exporter, the U.S. supplies roughly 20 percent of global demand.
Mark Williams, master finance lecturer at Boston University's Questrom School of Business, previously told Newsweek that restricting those exports could disrupt global energy markets and potentially raise costs for U.S. consumers.
“While a domestic diesel supply surplus might temporarily lower U.S. fuel costs, this effect is short-lived,” he said. “Over the long term, the ban would disrupt refining economics, lead to production cutbacks, and ultimately increase the costs of all refined products, including gasoline.”
Earlier this month, Trump said gas prices will likely fall after the November midterm elections.
"Right after the election, oil prices are going to be tumbling downward. They're going to be tumbling down, and we'll get them down. I think for gasoline, we'll get them below $2 a gallon," Trump said.
Contact Newsweek editors on this story: Edward T. Cummins
View 0 Comments
Submit Correction
View Editorial & AI Guidelines