Trump uses Defense Production Act to boost oil refining
President Trump said he will use the Defense Production Act to free up $150 million to make more fuel at US oil refineries, the Washington Examiner and The Washington Times reported. He spoke at a rally in Iowa on Thursday. Diesel and gas prices have soared since the war with Iran began.
President Trump said Thursday that he is using the Defense Production Act to help the oil industry, according to the Washington Examiner and The Washington Times. He made the announcement at a campaign rally in Sioux City, Iowa.
The move will release $150 million to increase American refining capacity, Trump said, according to the Examiner and the Times. He said the aim is to produce more diesel and more gasoline.
The Defense Production Act dates to the Cold War, The Washington Times reported. It lets a president push private firms to make goods the country needs for defense or in a crisis. The order lets the government offer money for oil work like drilling, building pipelines and storing fuel, the Times said.
Prices for crude oil and diesel have jumped since the US and Israel attacked Iran in a war that began in late February, The Washington Times reported. Ukrainian attacks on Russian refineries have added to the fuel shortage.
Iowa farmers have been hit hard by high diesel prices, the Washington Examiner reported. They need diesel to run farm equipment. Tariffs, including a 50% tariff on Canadian imports, have also driven up the cost of fertilizer, the Examiner said.
The order itself does not list which projects will get money, The Washington Times reported. It also does not say how much more oil the country could produce. The US pumped an average of 13.6 million barrels of crude a day in 2025, the most of any country, the paper said.
Last week, Vice President JD Vance said the White House would use the law to grow a Texas refinery owned by Delek, according to The Washington Times. A law Trump signed last year set aside $1 billion in Defense Production Act money for energy projects, the paper said.
The rally came less than two weeks before the November 3 midterm elections. Trump urged Iowans to back Rep. Ashley Hinson in her race for the Senate, the Examiner reported. A Reuters/Ipsos poll this week found 31% of Americans approve of how Trump is handling the economy, The Washington Times said.
What we know: Trump said he is using the Defense Production Act to release $150 million for oil refining.
What we don't: Which refineries or projects will get the money, or how soon prices could change.
Where outlets agree The Washington Examiner and The Washington Times report that Trump announced at an Iowa rally that he is using the Defense Production Act to release $150 million to expand US refining capacity.
Where they differ The cited reports agree on the key facts so far.