The U.S. Federal Trade Commission has ended its investigation into whether four of the nation’s largest heavy-duty truck manufacturers and their trade association broke antitrust laws through the “Clean Truck Partnership” agreement with the California Air Resources Board (CARB).
Daimler Truck, International Motors, PACCAR, and Volvo Group — which together control up to 99% of the U.S. heavy-duty truck market — signed the agreement in 2023 to comply with CARB regulations restricting truck sales and mandating zero-emission engines. The FTC said the arrangement raised competition concerns because it imposed output restrictions even if the CARB rules were later overturned, allowed potential enforcement of the restrictions between competitors, and locked in terms with limited public oversight.
The probe’s closure follows the manufacturers’ written pledges to the FTC to abandon the agreement, avoid enforcing its terms, and act independently in the marketplace. They also promised not to enter any similar arrangements with state regulators that involve cross-enforcement among competitors or compliance with limits beyond a state’s legal authority.
The Truck & Engine Manufacturers Association, which helped negotiate the Clean Truck Partnership, has made similar commitments, agreeing not to pursue such agreements on behalf of its members in the future.
The investigation was also shaped by political developments: President Trump signed legislation revoking CARB’s Environmental Protection Agency waivers, weakening the legal basis for the original deal.
“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 FTC’s Bureau of Competition. “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.”
The Commission voted 3–0 to close the case and accept the commitments from the manufacturers and their trade group.
