Trump Invokes Defense Production Act to Bolster U.S. Petroleum Capacity Amid Iran Conflict and Surging Energy Prices

On October 22, 2026, President Donald Trump issued a presidential memorandum determining that domestic petroleum production, refining, and logistics capacity are essential to national defense, authorizing the use of the Defense Production Act (DPA) of 1950 to expand infrastructure including exploration, pipelines, storage, and marine terminals. The memo directs the Secretary of War to make purchases, commitments, and provide financial instruments to address supply chain, financing, and permitting bottlenecks, waiving certain statutory requirements under Section 303 of the DPA. It builds on Executive Order 14156 from January 2025, which declared a national energy emergency, and follows Vice President JD Vance's October 13 announcement of DPA use to expand the Delek US Holdings refinery in Tyler, Texas, aiming to produce millions of gallons of commercial and military-spec fuel. The action responds to elevated oil prices—Brent crude above $113 per barrel—and U.S. gasoline at $4.27/gallon and diesel at $6.30/gallon, amid disruptions from the Iran conflict that began in February. Reuters and other outlets note this could open federal funding for fossil fuel projects, with prior DPA invocations for coal, LNG, and natural gas. The move underscores tensions between energy security and geopolitical pressures from conflicts involving Iran, Russia, and Ukraine, potentially accelerating domestic production to mitigate vulnerabilities in defense and industrial sectors.