Thune open to US diesel export ban, calls it a consideration

With the president's approval ratings sliding and midterm elections looming, Senate Majority Leader John Thune has said he is willing to weigh a ban on diesel exports. Such a measure, often described as a potential shock to global energy markets, would disrupt the free-market framework and could permanently damage trust in American industry, prompting other nations to build up reserves and seek alternate suppliers. It could also weaken U.S. refining in the long run as competitors expand capacity or turn to dependable allies.

Thune and his colleagues might frame the policy as a temporary step aimed at lasting through the midterms, but it would place him on a narrow path and could provoke retaliation from trading partners. The domestic oil sector would certainly push back, since the move would cut into profits.

The national average price for diesel has hit a record $6.285, up from $5.967 a week earlier, marking a new all-time high.