Tuesday, October 13, 2026·Focal News

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Maryland grants temporary diesel-tax relief to farmers and loggers

Gov. Wes Moore’s 30-day emergency order lets qualifying agricultural and forestry trucks use tax-exempt red-dyed diesel on Maryland roads. The move comes as diesel prices climb and harvest costs mount, but state officials are warning drivers not to take the fuel across state lines.

Maryland grants temporary diesel-tax relief to farmers and loggers
Maryland farmers and loggers can temporarily use tax-exempt red-dyed diesel in trucks hauling agricultural and forestry products on state roads under an emergency order Gov. Wes Moore put into effect Friday, Oct. 9. The order allows eligible drivers to use fuel that is ordinarily restricted to off-road equipment. Red-dyed diesel is chemically similar to regular diesel, but the dye identifies it as fuel exempt from highway taxes. In Maryland, those taxes total 71.85 cents per gallon: 47.45 cents in state motor fuel tax and 24.40 cents in federal excise tax. The order is in effect for 30 days and may be renewed. Unless Moore extends it or takes other action, the emergency period will end by Dec. 31. It also suspends fees for special hauling permits that allow qualifying agricultural and forestry vehicles to carry heavier loads on state highways. Maryland Department of Agriculture officials were still working through how federal relief announced by President Donald Trump would be enforced, said Harrison Palmer, the department’s chief of staff. As of Monday morning, the state was advising farmers and loggers not to use red-dyed diesel in vehicles that would cross into neighboring states, where its use on highways had not been authorized. Palmer said state agencies had been working on the change since September, but needed to resolve issues because Maryland had not previously taken this step. Moore’s order follows similar actions in other states. Diesel prices in Maryland had risen about 76.2% over the previous year, reaching $6.467 a gallon on Oct. 5, according to AAA. The increase comes after drought conditions in parts of the state and an April freeze caused crop losses, Palmer said. “Everything has sort of been up against you all year, and now — as you’re just trying to get [crops] off the field, you’re getting hit with this enormous fuel bill,” Palmer said. The state could forgo as much as $300,000 in tax revenue per month under the change, Palmer said. He said the administration was willing to accept that cost to support people working in agriculture and forestry. The Maryland Farm Bureau had urged state officials to allow the fuel’s use, arguing that diesel is essential for moving livestock, feed and timber. The group welcomed Moore’s order, saying it would provide relief as farmers face high fuel prices during harvest.

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