The Federal Trade Commission (FTC) has concluded its investigation into the Clean Truck Partnership, an agreement involving four major truck and engine manufacturers—Daimler Truck, International Motors, PACCAR, and Volvo Group—and their trade association with the California Air Resources Board (CARB). The FTC determined that commitments made by these companies to the Commission have addressed the agency’s antitrust concerns.
These four manufacturers control a significant portion of the heavy-duty truck market in the United States. In 2023, they agreed to comply with CARB regulations aimed at limiting truck sales and reducing greenhouse gas emissions. The FTC noted that the structure of this partnership raised several antitrust issues. Among them were requirements for manufacturers to produce only “zero emissions” engines even if CARB regulations were later invalidated, provisions allowing one manufacturer to enforce restrictions against another, and terms that limited political oversight or modification by elected officials.
Following legislative changes signed by President Trump revoking CARB’s waivers from the Environmental Protection Agency, most manufacturers distanced themselves from the Clean Truck Partnership agreement. The FTC then sought and received assurances from the involved parties that further addressed its concerns.
“CARB’s regulatory overreach posed a major threat to American trucking and, in our view, presented serious antitrust concerns,” said Taylor C. Hoogendoorn, Deputy Director of the Bureau of Competition. “The Bureau is pleased that the leading heavy-duty truck manufacturers agreed to a course correction. The Commission’s swift action will put the Clean Truck Partnership squarely in the rearview mirror and prevent repeats of CARB’s troubling regulatory gambit.”
Letters submitted by Daimler Truck, International Motors, PACCAR, and Volvo Group stated that they consider the Clean Truck Partnership unenforceable and affirmed that none would attempt to enforce its terms against another manufacturer. They also committed to acting independently when selling heavy-duty trucks and not entering into any future restrictive agreements with U.S. state regulators or governments that allow cross-enforcement among competitors or require compliance with unauthorized regulatory limits.
Additionally, the Truck & Engine Manufacturers Association—which represents a broader range of industry participants—agreed not to negotiate or enter into similar agreements on behalf of its members in the future.
The FTC commissioners voted unanimously (3-0) to close the investigation and accept these commitments. Chairman Andrew N. Ferguson issued a statement joined by Commissioner Melissa Holyoak and Commissioner Mark R. Meador.
The FTC continues its mission to promote competition while protecting consumers through education and enforcement activities. More information about how competition benefits consumers can be found on their website: https://www.ftc.gov/about-ftc/what-we-do/how-competition-benefits-you . Consumers can also file antitrust complaints or comment on proposed mergers via https://reportfraud.ftc.gov/#/ .
For updates from the FTC, individuals are encouraged to follow them on social media or subscribe to press releases at https://www.ftc.gov/news-events/news/press-releases .
