Overview
- Trump, who told CBS News on Monday he wants the levy paused for a “period of time,” later said the tax would stay off “until it’s appropriate.”
- Any pause requires an act of Congress, and Republicans including Sen. Josh Hawley and Rep. Anna Paulina Luna said they would introduce legislation to do it.
- The federal tax adds 18.4 cents per gallon to gasoline, yet analysts estimate drivers would see only about 10 to 16 cents of relief on average, with Penn Wharton putting the drop near 13 cents.
- Cutting the levy would blow a hole in the Highway Trust Fund that pays for roads and transit, with estimates near $500 million a week or about $17 billion over five months unless lawmakers backfill the gap.
- Prices have jumped to about $4.52 a gallon as the Strait of Hormuz remains constrained by the Iran war, and earlier steps like Strategic Petroleum Reserve releases and Jones Act waivers have not overcome the supply squeeze.