MONTGOMERY, Ala., Oct. 6 — Alabama Farmers Federation praised President Donald Trump’s executive order Monday, which provides tax relief on diesel fuel. 

“We appreciate President Trump joining Gov. Kay Ivey in allowing dyed diesel fuel to be used without penalty for highway use,” said Federation President Jimmy Parnell. “With about a dozen states easing enforcement of off-road diesel rules, President Trump’s executive order provides consistency across the country and ensures farmers and timber producers will not be penalized when they cross state lines to market their products.”

The executive order directs the Internal Revenue Service to suspend penalties when dyed diesel fuel is sold for use or used on the highway from Oct.  5-Dec. 31. It also instructs to the secretaries of Agriculture, Treasury and War to determine if federal excise taxes on diesel fuel can be deferred without interest or penalty during the same time period and explore avenues to forgive deferred payments. In addition, the order prioritizes the availability of dyed diesel for farmers by instructing Secretary of Agriculture Brooke Rollins to “ensure adequate distribution of dyed diesel for (agricultural) use in high-demand areas.”

“This executive order is the latest step in the president’s efforts to lower fuel costs by easing regulations, unleashing U.S. energy production and working with allies to increase supply,” Parnell said. “Providing tax relief during harvest season will help farmers and benefit all Americans who rely on trucks to deliver the products we use every day.”

In recent weeks, the Trump Administration has waived hours of service rules, allowing truck drivers handling gasoline and diesel to drive additional hours. President Trump also announced a deal with Venezuela, securing 65 billion barrels of oil. Last week, he successfully negotiated with Europe to release 100 million barrels of refined diesel from its strategic reserves within the next four months.