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    Home » Trump wants gas-tax holidays. Will Congress be involved in this?
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    Trump wants gas-tax holidays. Will Congress be involved in this?

    Smart WealthhabitsBy Smart WealthhabitsMay 12, 2026No Comments4 Mins Read
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    Trump wants gas-tax holidays. Will Congress be involved in this?
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    WASHINGTON – With no end in sight to skyrocketing fuel prices caused by the Iran war, Congress is considering intervention.

    Democrats on Capitol Hill have been fighting for a temporary federal gas tax holiday for months. Although he introduced legislation to establish an institute in March, the idea was not gaining meaningful traction — until President Donald Trump suddenly came out in support of it.

    “Yes, I’m going to reduce,” he said during a May 11 Oval Office event, adding that he wanted to suspend the 18.4-cent-per-gallon gasoline tax until an “appropriate” time.

    While there is no clear timeline yet for a potential stoppage — which still faces considerable roadblocks at the Capitol — it could arguably be the most meaningful legislative intervention to ease the pain faced by Americans across the country since the war began.

    The proposal highlights bipartisan appetite for efforts to reduce costs for voters in a midterm election year. And it shows how worried Democrats — and even many Republicans — are about the still-evolving domestic consequences of the Middle Eastern conflict.

    Congress reaction

    “We must do everything possible,” said Sen. Josh Hawley, R-Missouri. “We should vote on this as soon as possible.”

    Hawley introduced a bill this week to pause both the gas tax and the 24.4-cent diesel tax for 90 days. At least one other congressional Republican, Representative Anna Paulina Luna of Florida, has also said she will propose similar legislation in the House of Representatives. “This should have happened months ago,” Rep. Chris Pappas, the New Hampshire Democrat who first pushed for the break with his Senate counterparts earlier this year, said on Twitter.

    However, whether the measures actually gain momentum will depend largely on GOP leadership in Congress. House Speaker Mike Johnson and Senate Majority Leader John Thune have both been cool to the idea: Each has acknowledged that their preferred solution to reducing fuel costs would be to reduce tensions in the Strait of Hormuz, a waterway in the Middle East that is responsible for global oil supplies.

    Still, Thune said his members would “take a look” at the president’s request and “listen to him.” He cautioned that the gas tax goes to a vital source: the Highway Trust Fund, which supports highway construction and transit projects across the country.

    “I have not been a big fan of previous efforts in the past,” he said on May 12, noting that “circumstances have changed” amid the war. “I think it’s a conversation we want to have.”

    Given Trump’s blessing, a bipartisan coalition could overcome leadership concerns. Concerned about current gas costs around $4.50 a gallon, congressional Democrats already look ready to join with Republicans who support the tax-holiday measure, though some are frustrated by Trump’s delay in coming around to the concept.

    Speaking to reporters in the halls of the Capitol, Senator Tim Kaine, the lawmaker who has largely been the face of Senate Democrats’ opposition to the war, said he had a “better idea” to save Americans money on fuel.

    “End this stupid war,” he said.

    Trump also supported the Housing Affordability Bill

    The gas-tax freeze wasn’t Trump’s only suggestion related to cost-cutting for Americans in recent days. He also came out in support of the broadly bipartisan housing reform bill, which has languished in the House of Representatives since it was passed by the Senate two months ago. This legislation would cut red tape while preventing large institutional investors from competing with traditional buyers for existing single-family homes.

    The new affordability stimulus comes just six months before the midterms, the results of which will determine whether Trump retains a friendly Congress in 2027. Republicans, who have gained momentum in redistricting battles because of favorable court rulings, have a better chance of maintaining control of the Capitol, which would allow Trump to pass more significant legislation on his way out the door.

    However, historical trends are still not in the GOP’s favor. The party’s biggest issues remain twofold: Trump’s declining poll numbers and broader cost-of-living concerns. Some Republicans, including Senator Jim Justice of West Virginia, have long been sounding the alarm about the latter.

    When Democrats fared better in a special election in Tennessee last December, Justice was among the GOP lawmakers who called on his party to take notice. This week, he said he would support a gas-tax holiday — but he indicated that it, in itself, might not be enough to make a meaningful difference in the lives of many Americans.

    “In some ways, it’s like taking aspirin for cancer,” he said.

    Zachary Sharmele is a congressional reporter for USA TODAY. You can reach him by email at (email protected). Follow him on X at @ZachSchermele and Bluesky at @zachschermele.bsky.social.

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