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Recently, two sources “familiar with the US government's plans” revealed that the White House is discussing how to invoke the Defense Production Act to increase US refining capacity. This rare move shows that the US government is facing increasing pressure as it deals with the impact of high energy prices. The US government must prove “that it is capable of containing the impact of rising energy costs on consumers and businesses” before the midterm elections to be held in November. According to the news, the proposal to increase refining production capacity was put forward by US President Trump during a recent meeting with more than 10 US refiners. According to reports, refining company executives told White House officials at the meeting that instead of investing in the construction of a new refinery, it would be more effective to use federal funds to expand existing refineries or improve their efficiency, because building a new refinery is not only expensive, but generally takes several years to complete and put into operation. Sources said that no final decision was reached at this meeting, but the participants all expected the relevant discussions to continue. The Defense Production Act gives the President the power to directly mobilize industrial resources and provide financial incentives to workers, with the aim of expanding the scale of production of materials critical to national defense. This tool, which is seen as a last resort, has never before been used to increase refining capacity. In April 2026, US President Trump officially authorized the bill to support and increase US oil production capacity.

Zhitongcaijing·09/12/2026 23:17:05
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Recently, two sources “familiar with the US government's plans” revealed that the White House is discussing how to invoke the Defense Production Act to increase US refining capacity. This rare move shows that the US government is facing increasing pressure as it deals with the impact of high energy prices. The US government must prove “that it is capable of containing the impact of rising energy costs on consumers and businesses” before the midterm elections to be held in November. According to the news, the proposal to increase refining production capacity was put forward by US President Trump during a recent meeting with more than 10 US refiners. According to reports, refining company executives told White House officials at the meeting that instead of investing in the construction of a new refinery, it would be more effective to use federal funds to expand existing refineries or improve their efficiency, because building a new refinery is not only expensive, but generally takes several years to complete and put into operation. Sources said that no final decision was reached at this meeting, but the participants all expected the relevant discussions to continue. The Defense Production Act gives the President the power to directly mobilize industrial resources and provide financial incentives to workers, with the aim of expanding the scale of production of materials critical to national defense. This tool, which is seen as a last resort, has never before been used to increase refining capacity. In April 2026, US President Trump officially authorized the bill to support and increase US oil production capacity.