Rubbish Check
CBS MoneyWatch · October 7, 2026
source“Trump temporarily expands use of red-dyed diesel. Will it lower costs?”
R2/ 10
Lightly altered
Rubbish Rating — 1 = base fact, 10 = pure rubbish
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In short
Rubbish Talk rates CBS MoneyWatch's headline on Trump's red-dyed diesel order a 2/10 because the question-form headline accurately previews a body full of expert skepticism rather than overselling the White House's savings claim.
The Verdict
Lightly altered. The headline poses a genuine open question, "will it lower costs?", and the article answers it honestly with on-record skepticism from fuel-market experts, rather than parroting the administration's $100-per-fill-up claim as fact. The only soft spot: dropping "tax-free" from the published headline (present in the original page title) slightly under-signals that this is a tax deferral, not a price intervention.
What actually happened
President Trump signed an executive order temporarily allowing red-dyed diesel, normally reserved for off-road farm and construction use and exempt from the federal excise tax, to be used legally on highways through the rest of 2026. The move defers the federal excise tax for the remainder of 2026 and directs the Treasury secretary to explore ways to eliminate the requirement to pay the taxes, according to the White House. It does not add any new diesel supply.
Key facts
- The federal tax on regular diesel is 24.4 cents a gallon, which red-dyed diesel is exempt from. The order defers that tax from October 5 through December 31, 2026, without interest or penalties, per the White House.
- On Tuesday, the national average for a gallon of diesel stood at $6.32, according to AAA, compared to $3.76 before the war in Iran started. Prices had eased slightly from a record high of $6.53 the prior month.
- According to a White House fact sheet on the executive order, drivers who rely on diesel could save more than $100 each time they fill up.
- Many states also have bans on using red-dyed diesel on roads and highways, and if some states don't waive their bans, it could lead to a "convoluted patchwork" of enforcement.
- The impact on farmers will also be muted, given that they already get tax-free diesel in most states.
- The U.S. has about 105 million barrels of diesel in inventory, and this move doesn't increase or decrease that level.
What to watch for
Watch whether the IRS ever moves to collect the deferred tax after December 31: drivers will be liable for the deferred tax only if the Internal Revenue Service, at the direction of the Secretary of the Treasury, takes action to enforce it. Also track state-by-state waiver uptake, since a patchwork of enforcement could blunt savings for interstate truckers, and whether lower effective prices stimulate demand enough to offset the tax relief given static supply.
About this scoreThe R-Score is Rubbish Talk's editorial opinion on how far a headline's framing sits from what the underlying facts support. It is a judgement about presentation and emphasis, not an allegation that any outlet has acted dishonestly. Every figure we rely on is linked under Receipts so you can check it yourself.
