Key facts
- Energy Secretary Wright asked oil companies to reduce exports to increase U.S. diesel inventories and lower prices.
- Executives stated that coordinated export reductions could violate federal antitrust laws.
- The administration is considering other unspecified options to address fuel prices.
- A previous proposal for a 90-day export ban faced significant industry opposition.
US Energy Secretary urged oil companies to voluntarily reduce their exports of diesel fuel to increase domestic inventories and push down prices. Speaking to reporters, Wright stated he told refining company executives, "Reduce a little bit your exports overseas... Put some more diesel into the United States. Let’s grow our diesel inventories. Let’s push prices down."
However, energy executives have raised concerns that coordinating such voluntary reductions among companies could lead to violations of federal antitrust laws. "It’s against the law," said a person working with the energy executives who are talking to White House officials. The administration is reportedly exploring other options, though details were not disclosed by Wright.
This request follows a previous proposal by the administration for a possible 90-day ban on exports to lower domestic prices. That idea generated significant opposition from the industry, with warnings that such a move would only provide a short-term price decrease and could lead to longer-term disruptions in refinery output due to the loss of a major market. One industry executive familiar with the conversations noted that Wright's "voluntary" export limitation has no specific details.