“It’s like taking aspirin for cancer,” said Sen. Jim Justice. West Virginia Republican lawmakers support suspending small taxes, but say gas prices need to come down much more.
Inflation spikes again in April amid Iran war
Inflation rose to the highest level since 2023 in April as high oil prices stemming from the Iran war pushed up prices at filling stations and affected supply chains.
WASHINGTON – With no end in sight to soaring fuel prices from the Iran war, Congress is considering intervention.
Democrats on Capitol Hill have been pushing for a suspension of the federal gas tax for months. The government introduced legislation to enact this in March, but the idea never gained meaningful momentum until President Donald Trump suddenly announced his support.
“Yes, we’re going to lower it,” he said at an Oval Office event on May 11, adding that he wanted to suspend the 18.4 cents per gallon gas tax until the “appropriate” time.
While there is no firm timeline yet for a potential moratorium, which still faces significant hurdles on Capitol Hill, it could be the most meaningful legislative intervention to ease the pump pains facing Americans across the country, perhaps since the war began.
The proposal highlights bipartisan enthusiasm to ease the burden on voters in a midterm election year. And it shows how concerned Democrats, and even many Republicans, are about the continuing domestic impact of the Middle East conflict.
“We should pull every lever we can,” said Sen. Josh Hawley (R-Missouri). “You should vote as soon as possible.”
Hawley introduced a bill this week that would suspend both the gas tax and the 24.4-cent diesel tax for 90 days. At least one other Republican, Rep. Anna Paulina Luna of Florida, has said she will introduce a similar bill in the House. “This should have happened months ago,” New Hampshire Democratic Rep. Chris Pappas, who first introduced the moratorium with senators earlier this year, said on “X.”
But whether the measure actually gains traction will depend largely on Republican leadership in Congress. House Speaker Mike Johnson and Senate Majority Leader John Thune are cool with the idea. They acknowledged that the preferred solution to lowering fuel costs is to reduce tensions in the Strait of Hormuz, the Middle East waterway that provides much of the world’s oil supplies.
Still, Thune said party members would “consider” the president’s request and “listen to his views.” He warned that the gas tax goes to an important source of funding: the Highway Trust Fund, which supports highway construction and transportation projects across the country.
“I’ve never been a big fan of previous attempts, even in the past,” he said on May 12, noting that “things changed” during the war. “I think that’s a conversation we’re willing to have.”
With President Trump’s blessing, a bipartisan coalition could override the leadership’s concerns. Alarmed by current gas prices of about $4.50 a gallon, Congressional Democrats already appear poised to join Republicans in supporting a tax holiday measure, but some are frustrated by President Trump’s slowness in moving on the initiative.
Sen. Tim Kaine, the largely anti-war face of Senate Democrats, told reporters in the halls of the Capitol that he had “better ideas” to save Americans money on fuel.
“Please end this stupid war,” he said.
President Trump supports housing affordability bill
Suspending the gas tax wasn’t the only proposal President Trump has made in recent days to reduce costs for Americans. He also voiced support for a bipartisan housing reform bill that has stalled in the House after passing the Senate two months ago. The bill would cut red tape and largely prohibit large institutional investors from competing with traditional buyers for existing single-family homes.
The new affordability push comes just six months before the midterm elections, the outcome of which will determine whether President Trump maintains a friendly Congress until 2027. Republicans, who have led the redistricting battle following favorable court rulings, are in an increasingly favorable position to maintain control of the Capitol, which would allow them to pass more significant legislation when President Trump leaves office.
But historical trends still don’t favor Republicans. The party’s two biggest problems remain. President Trump’s plummeting poll numbers and widespread concerns about the cost of living. Some Republicans, including West Virginia Sen. Jim Justice, have long been sounding the alarm about the latter.
When Democrats won a landslide victory in Tennessee’s special election last December, Mr. Justice was one of the Republicans who cautioned the party. This week, he said he supports repealing the gas tax, but suggested it may not be drastic enough on its own to make a meaningful difference in the lives of many Americans.
“In some ways, it’s like taking aspirin for cancer,” he says.
Zachary Schermele is a Congressional reporter for USA TODAY. You can email us at zschermele@usatoday.com. Follow him on X at @ZachSchermele and on Bluesky at @zachschermele.bsky.social.
