FTC Closes Probe Into Truck Manufacturers’ Clean Truck Agreement With California Regulators

Federal Trade Commission (FTC)

WASHINGTON, D.C. — The Federal Trade Commission (FTC) has closed its investigation into whether four major truck manufacturers and their trade group violated antitrust laws through their participation in the “Clean Truck Partnership” with the California Air Resources Board (CARB). The decision follows binding commitments by the companies to abandon the agreement and refrain from similar arrangements in the future.

The Clean Truck Partnership, signed in 2023 by Daimler Truck, International Motors, PACCAR, and Volvo Group—collectively controlling nearly the entire U.S. heavy-duty truck market—committed the manufacturers to comply with California’s emissions rules, even if those rules were later struck down. Regulators argued that such provisions effectively restricted production of internal combustion engines, limited competition, and reduced political oversight.

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Since the launch of the FTC’s inquiry, President Trump revoked CARB’s waivers from the Environmental Protection Agency, undercutting the foundation of the partnership. In response, the manufacturers formally disclaimed the agreement, pledging they would not enforce its terms against competitors and would act independently in the marketplace. They also committed not to enter into restrictive agreements with state regulators in the future.

The Truck & Engine Manufacturers Association, which helped negotiate the Clean Truck Partnership, made a parallel pledge not to pursue similar arrangements on behalf of its members.

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“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. He noted that the FTC’s intervention ensured the agreement “will be put squarely in the rearview mirror.”

The Commission voted 3-0 to close the case, with Chairman Andrew N. Ferguson, Commissioner Melissa Holyoak, and Commissioner Mark R. Meador issuing a joint statement.

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