Energy Secretary Says White House Open to Suspending Federal Gas Tax
Why It Matters
With pump prices surging to their highest levels in four years, the Trump administration is signaling a shift on federal gas tax relief. Energy Secretary Chris Wright said Sunday that the White House is open to suspending the federal gasoline tax — a slight but notable softening from the administration’s position just days earlier.
What Happened
Appearing on two Sunday political programs, Wright indicated the administration is willing to consider halting the federal gas tax of 18.3 cents per gallon to ease pressure on consumers and businesses. “We’re open to all ideas,” he said, while cautioning that “everything has tradeoffs.”
The remarks represent a departure from last week’s White House posture, when an administration official described a gas tax suspension as “not currently under consideration.” The average national price for regular gasoline has climbed to $4.52 per gallon, up from just under $3 at the start of the current conflict — a spike tied to disruption in the Strait of Hormuz.
Wright also addressed the broader strategic picture on CBS’s “Face the Nation,” warning that a nuclear-armed Iran would pose a lasting threat to regional energy supplies. He acknowledged the “short-term dislocation” caused by the war, arguing the long-term risk to peace and American energy security justified the near-term cost.
By the Numbers
- $4.52/gallon — current national average for regular gasoline
- 18.3 cents/gallon — the federal gasoline tax that would be suspended
- 24.3 cents/gallon — the federal diesel tax, which also supports the Highway Trust Fund
- 10–16 cents/gallon — estimated consumer savings from a full suspension, per the Bipartisan Policy Center
- $1.50+/gallon — the approximate price increase driven by the war-related supply disruption
Zoom Out
A federal gas tax holiday has been proposed repeatedly over the decades during periods of elevated fuel prices, but Congress has never enacted one. Both the gasoline and diesel levies fund the Highway Trust Fund, which finances roads, bridges, and transit infrastructure nationwide — making any suspension a fiscal trade-off as well as a political one.
The proposal has drawn bipartisan interest. Democratic lawmakers, including Sen. Mark Kelly of Arizona, have introduced legislation to pause the federal tax. Any suspension, however, would require an act of Congress, though the Trump administration has used executive orders broadly on other policy fronts. The broader labor market has shown signs of stabilizing even as energy costs weigh on household budgets.
The administration has already taken several other steps to address the price spike, including drawing down the Strategic Petroleum Reserve and waiving the Jones Act to facilitate fuel shipments at domestic ports. Analysts note these measures offer limited relief because U.S. retail prices move largely in step with global oil markets.
What’s Next
With midterm elections approaching, administration officials appear to be testing the political ground on energy costs. Any legislative action on the gas tax would need to move through Congress, where the funding implications for highway infrastructure could face resistance from both parties. The White House has not announced a formal proposal, and Wright’s comments stopped well short of a policy commitment. Trump has also recently used executive action to expand financial options for workers, suggesting the administration may continue looking for unilateral tools if a legislative path stalls.