President Trump told CBS News in a phone interview Monday morning that he plans to suspend the federal gas tax, a move aimed at giving American drivers relief as fuel prices have jumped more than 50 percent since the Iran war began on Feb. 28.
"Yup, we're going to take off the gas tax for a period of time, and when gas goes down, we'll let it phase back in," Trump said.
The federal excise tax stands at 18.4 cents per gallon on gasoline and 24.4 cents per gallon on diesel. Suspending it requires an act of Congress, and Republican lawmakers moved fast. Sen. Josh Hawley of Missouri said Monday he would introduce legislation to pause the tax. Rep. Anna Paulina Luna, a Florida Republican, said she plans to file a companion bill in the House this week "in light of Trump's recent remarks."
Several Democratic lawmakers had already introduced their own proposals to pause or lower the tax, which means the idea now carries rare bipartisan momentum, even as the two parties remain at each other's throats on nearly everything else.
The numbers tell the story. Gas prices hit a national average above $4.52 on Sunday, according to AAA. That figure reflects a 50-plus percent climb since the start of the Iran conflict on Feb. 28, driven largely by Iran's decision to block access to the Strait of Hormuz, a chokepoint for global oil shipments.
Analysts believe prices will stay elevated as long as the strait remains closed. Trump made clear he saw the blockade coming before others did. When Israeli Prime Minister Benjamin Netanyahu told "60 Minutes" that "nobody had perfect foresight" about Iran's willingness to shut down the strait, Trump had a blunt response.
"I did. I knew they closed it. That's the only weapon they have. It's not much of a weapon anymore, but that's the only weapon they have. We would have had it open, except that I did the favors for certain countries that asked me not to do it, we would have had it open under Operation Freedom, but we can easily go back to that."
Whether the administration reopens a military escort operation through the strait remains an open question. Trump suggested it was on the table, or possibly something more forceful. "I don't know, either that, or (something) much more severe," he said.
The gas tax suspension is not the only lever the White House is pulling. Energy Secretary Chris Wright confirmed the administration is open to any measure that brings down pump prices. Fox News reported that Wright told NBC's "Meet the Press" the administration has already released oil from the Strategic Petroleum Reserve, eased EPA summer gasoline blend rules, and pressed refiners to shorten maintenance schedules to boost output.
"We are open to all ideas. All ideas to lower prices for American consumers and American businesses," Wright said.
Wright also noted the administration coordinated reserve releases with 30 other nations, a detail that underscores the global scope of the supply crunch Iran has created.
As Breitbart reported, Wright framed the tax suspension as one option among several, saying, "We are working every day to offset this rise in prices because of a critical conflict in Iran to drive prices down, and we're open to all such ideas."
That kind of all-of-the-above urgency is what voters expect when they're paying $60 or more to fill a sedan. The question is whether Congress can move at the same speed.
Pausing the gas tax comes with a real fiscal cost. Revenue from the excise tax flows into the Highway Trust Fund, which pays for road construction, repairs, and other transit projects. A suspension would cost the federal government roughly half a billion dollars per week, money that would need to be backfilled or forgone.
The New York Post noted the federal gas tax generates up to $40 billion annually for roads and infrastructure, making any extended pause a serious budget question for Congress.
That trade-off is worth an honest debate. But for families watching the price ticker climb every time they pull into a gas station, the immediate relief of knocking nearly 20 cents off each gallon is tangible. And Trump framed the suspension as temporary, tied to market conditions, not a permanent giveaway.
"I think it's a great idea," he told CBS News.
The political dynamics are worth watching. Democrats had already floated their own gas tax proposals, which means opposing Trump's version would require them to reverse their own position simply because the president adopted it. That kind of reflexive opposition has scrambled partisan expectations before, and it may again.
Rising fuel costs have not just hit consumers at the pump. Jet fuel costs have more than doubled since the start of the Iran war, and Spirit Airlines shut down earlier this month under the weight of surging prices. Trump acknowledged the pressure on the airline industry but rejected the idea of a federal bailout.
"The airlines are doing not badly," Trump said, describing the industry's overall position as "pretty good." That assessment may be generous, Spirit's collapse suggests otherwise, but the president's refusal to open the bailout spigot is a welcome sign for taxpayers who remember the blank checks Washington wrote during past crises.
The broader pattern of political confrontation between the administration and congressional Democrats makes the gas tax debate a rare space where cooperation could actually happen. Whether it does depends on whether Democratic leaders can resist the temptation to block a popular idea just because Trump endorsed it.
The gas tax discussion unfolded against a wider backdrop of stalled diplomacy with Iran. Over the weekend, Trump declared the latest Iranian peace proposal "totally unacceptable."
"It was just a bad proposal, a stupid proposal, actually...done by people that have no clue as to the danger they're in. Very stupid proposal. Badly written, badly delivered."
Asked whether Iran had made concessions on its nuclear program, Trump acknowledged movement but said it fell short. "Yeah, for sure, but not nearly enough," he said.
That posture, willing to negotiate, unwilling to accept a weak deal, keeps pressure on Tehran while the economic consequences of the Strait of Hormuz blockade ripple through American gas stations, trucking routes, and airline balance sheets. Newsmax reported that Trump's gas tax move is being read as a direct response to those ripple effects, timed to show voters the administration is acting while Iran stalls.
The speed with which Hawley and Luna moved to file legislation suggests the White House had lined up congressional allies before the CBS interview aired. That kind of coordination matters. A gas tax holiday that dies in committee helps no one.
Open questions remain. How long would the suspension last? Would Congress backfill the Highway Trust Fund shortfall, or accept the hit? And would Democrats, some of whom proposed the same idea months ago, join the effort or find a reason to oppose their own policy now that Trump has claimed it?
None of those questions have answers yet. What does have an answer is the price on the gas station sign. Americans can see it every morning. And they know who's trying to bring it down.
When the other side's leaders have to choose between helping their own voters and denying a win to the president, you learn fast what their real priorities are.
