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Trucking, Construction Groups Oppose Federal Gas Tax Pause Plan

Freightwatch Reporter

Freightwatch.news

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Wednesday, May 13, 2026

Major industry groups representing trucking and construction are actively resisting a proposal to temporarily suspend the federal gas tax, arguing the move would undermine critical infrastructure funding.

Gasoline prices have surged approximately 50% since February when conflict in Iran escalated, with diesel climbing to $5 per gallon. The Strait of Hormuz blockade has restricted roughly one-fifth of global oil supplies.

Industry leaders warn a tax holiday would significantly reduce revenues flowing to the Highway Trust Fund, which finances federal highway construction, maintenance, public transit and infrastructure projects. According to Brian Turmail, national spokesman for the Associated General Contractors of America: "A gas tax holiday is a good way to blow a hole in the collection of revenue for funding highway and transit repairs, but it's a bad way to help drivers who are affected by higher gas prices."

The federal gas tax stands at 18.4 cents per gallon. Congressional approval would be required for any tax suspension.

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