What happened: President Donald Trump yesterday told CBS News, “[W]e’re going to take off the gas tax for a period of time, and when gas goes down, we’ll phase it back in.”  The president’s comments are in response to continuing concerns about the $1.50 increase in the price of gasoline that has occurred since the beginning of the war in Iran.

Trump did not specify the duration of his preferred suspension or if the Highway Trust Fund (HTF), which supports federal investment in roadway and public transportation improvements, should be compensated for the lost revenue.

What’s next: Changing or suspending the gasoline tax rate would still require action from Capitol Hill, where members of Congress had mixed reactions:

  • Senator Josh Hawley (R-Mo.) introduced legislation to pause motor fuel tax collections for 90 days and provide the president the discretion to extend the pause for an additional 90 days. The measure would preserve federal transportation investment by reimbursing the HTF for lost fuels tax revenue.
  • Several Republican House members are also planning to introduce proposals.
  • Senate Majority Leader John Thune (R-S.D.) told publication Axios, “I’ve not in the past obviously been a fan of that idea. But you know I’ve got some colleagues out there who think it’s a good idea and so we’ll hear them out.”  Thune added, “the best thing can happen for gas prices is for the [Strait of Hormuz] to get opened up again.”
  • Senators Mark Kelly (D-Ariz.) and Richard Blumenthal (D-Conn.), frequent Trump administration critics, introduced The Gas Price Relief Act in mid-March to suspend the full 18.4 cents gas tax through Oct. 1. The measure would backfill lost HTF revenue from the general treasury.
What we’re doing: ARTBA has long opposed federal gas tax suspensions due to their adverse impact on transportation investment and the fact they do not achieve the stated goal of reducing fuel prices.

ARTBA and its Transportation Construction Coalition (TCC) allies have written to all members of Congress opposing any fuels tax suspension and urged them to focus on a robust reauthorization of the federal highway and transit programs that will save Americans lost time and money by getting them out of traffic congestion.

ARTBA also distributed a recent Transportation Investment Advocacy Center report that shows state gas tax suspensions have had modest impact on gasoline pump prices. So far, four states (Kentucky, Indiana, Georgia, and Utah) have paused their state gas tax, with several others considering suspensions.

What’s next: This situation is unfolding rapidly, and next steps from Congress are unclear at the moment. ARTBA and other industry activists in town for the 2026 TCC Fly-In will take our message of the importance of increased surface transportation investment to Capitol Hill May 13.

Related News

April 24, 2026

Sec. Duffy Asks Governors to Focus On Traffic Congestion

What’s happening: U.S. Department of Transportation (DOT) Secretary Sean Duffy sent a letter to…

Learn More
April 22, 2026

Administration Directs Agencies to Further Streamline Permitting

What happened: New guidance directing federal agencies to review and expand categorical exclusions (CEs) under the…

Learn More
April 20, 2026

Tariff Refund Website Goes Live

What’s happening: The U.S. Customs and Border Protection (CBP) April 20 launched an online…

Learn More