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Reynolds One of 13 Governors to Follow Trump's Red-Dye Diesel Action
The move follows a Trump executive order and could save Iowa farmers and truckers millions in fuel costs, U.S. Agriculture Secretary Brooke Rollins said.
On Tuesday, Iowa Governor Kim Reynolds signed a proclamation suspending state penalties for vehicles using dyed diesel to transport agricultural products on public roads through Feb 2, 2027, following President Donald Trump's executive order.
Reynolds is one of 13 governors implementing the suspension, an action U.S. Agriculture Secretary Brooke Rollins described as necessary relief for farmers facing record diesel costs during the fall harvest season.
Iowa farmers and truckers hauling grain, fertilizer, and hay can save nearly 57 cents per gallon on purchases this fall, given the state's diesel tax of 34.5 cents per gallon.
Groups representing truck stops and gas stations warn the proclamation does not waive the underlying tax, as only Congress and state legislatures retain authority to eliminate taxes.
Secretary Brooke Rollins estimated during a news conference in Prairie City that the initiative could save about $640 million this harvest season, with the suspension lasting through Feb 2, 2027.