Trump’s fuel cost measures unlikely to ease voter concerns before midterms
With the US midterms less than two weeks away, high fuel prices remain a major concern for voters and a political risk for Republicans. Donald Trump has promoted measures to reduce costs, but analysts say they are unlikely to bring relief before election day, and polling suggests lower prices might still not persuade many voters to back Republicans.
The average US petrol price is $4.29 a gallon, more than $1.25 higher than a year earlier, while diesel is $6.30, up nearly 75%. Trump’s announced steps include a one-time $8bn diesel subsidy for farmers, expanded use of tax-exempt red-dye diesel and permission for 2.24m barrels of Russian diesel imports, an amount equivalent to about 14 hours of US demand. Analysts say global supply is constrained by the war on Iran, damage to refineries and attacks on Russian facilities; US refineries are already running at capacity.
In short
- Fuel costs remain high ahead of the US midterms.
- Petrol is $4.29 a gallon and diesel is $6.30.
- Analysts say Trump’s measures are unlikely to deliver quick relief.
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The case for
The measures may offer targeted help to farmers and other diesel users, while allowing additional imports could add some supply at a time of tight markets. Even if they cannot quickly lower prices nationwide, supporters could argue that acting before the election shows the administration is responding to a serious cost-of-living concern and may ease pressure in particular sectors.
The case against
The steps appear too small or slow to materially reduce fuel costs before voters go to the polls: the proposed Russian diesel imports cover only a fraction of a day’s US demand, and domestic refineries are already operating at capacity. Critics could argue that limited, temporary relief will not address the wider supply constraints or offset the sharp year-on-year price rises, leaving voters’ concerns largely unchanged.
Explained simply
Fuel prices affect the cost of driving, transporting goods and producing food, so increases can be felt across the US economy. Petrol and diesel prices have risen sharply over the past year, with diesel costs also affecting farmers and businesses that move goods.
The midterm elections take place halfway through a US president’s four-year term. Voters choose members of Congress, and the results can affect how easily the president can pass laws; Republicans currently face political pressure over the cost of living.
Donald Trump is the president, and his administration has announced measures aimed at easing fuel costs, including support for farmers and changes to diesel supplies. Prices also depend on factors such as global oil supply and the capacity of US refineries, which shape how quickly policy measures can affect what people pay.
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Originally published by The Guardian as “Too little, too late: Trump takes on gas prices as fuel costs hamper his midterm hopes”.