Industry groups have issued a formal warning to truck stops regarding the sale of red-dyed diesel fuel. The advisory emphasizes that there is “limited upside” to offering this product, even as diesel prices across the United States have reached record highs.

The Society of Independent Gasoline Marketers of America (SIGMA) and other industry representatives are concerned about the potential regulatory and operational risks associated with the fuel. Red-dyed diesel is typically reserved for off-road use, such as in agricultural equipment or heating systems, and is exempt from certain federal excise taxes. Using this fuel for on-road commercial trucking is illegal and carries significant penalties.

According to industry reports, there is a perception that the White House may be attempting to encourage the supply chain to utilize dyed fuel in non-traditional ways to mitigate current supply constraints or price spikes. Industry groups are pushing back against this, warning members that the legal risks and tax implications of selling dyed diesel for on-road use far outweigh any potential benefits of increased supply or lower consumer costs. The situation highlights a tension between government efforts to address fuel availability and the industry's desire to maintain compliance with federal tax and environmental regulations.