Clean Truck Partnership: What Happened in the FTC Probe

FTC Ends Clean Truck Partnership Investigation

Background of the Clean Truck Partnership

The Federal Trade Commission (FTC) has ended its investigation into the Clean Truck Partnership. This agreement was signed in 2023 by the California Air Resources Board (CARB) and four large truck makers: Daimler Truck North America, International Motors (formerly Navistar), PACCAR Inc., and Volvo Group North America. Together, these companies produce nearly all heavy-duty trucks sold in the U.S.

The Clean Truck Partnership was created after California adopted new rules. These included the Advanced Clean Trucks rule, the Advanced Clean Fleets rule, and the Heavy-Duty Engine and Vehicle Omnibus rule. The rules required manufacturers to sell more zero-emission trucks. They also imposed stricter limits on diesel-powered trucks.

To enforce these rules, California needed waivers from the U.S. Environmental Protection Agency (EPA). CARB requested those waivers. But in 2025, Congress revoked them under the Congressional Review Act (CRA). President Trump signed the resolutions, which made the rules unenforceable.

FTC Concerns About the Clean Truck Partnership

The FTC reviewed whether the Clean Truck Partnership violated antitrust laws. The concern was that all major truck makers, who control most of the market, agreed to act together. Agreements between competitors that limit competition or reduce output are considered unlawful.

One part of the agreement drew special attention. Known as the “Dead Hand Provision,” it required truck makers to follow California’s rules even if courts ruled that CARB lacked authority. The FTC said this gave private companies the power to act like regulators. It also made it difficult for lawmakers or voters to change the terms.

FTC officials explained that states can pass their own rules. But private companies cannot cooperate to enforce restrictions that reduce competition. Under U.S. law, such agreements are serious antitrust concerns.

Truck Makers’ Commitments on the Clean Truck Partnership

As part of the resolution, the FTC secured promises from the four truck makers and their trade group, the Truck and Engine Manufacturers Association. Their commitments regarding the Clean Truck Partnership include:

• The Clean Truck Partnership is unenforceable after the CRA ruling.
• No company has ever tried to enforce the agreement.
• No company will attempt to enforce it in the future.
• Each company will act independently when selling trucks.
• No company will enter agreements with states that restrict output or set emission caps enforceable by competitors.
• No company will sign agreements with “Dead Hand” clauses.

The companies also agreed to provide reports and disclosures to the FTC. This ensures regulators can confirm compliance. Their trade group also pledged not to negotiate similar agreements on behalf of any member.

Federal Action

The FTC highlighted that the Trump-Vance Administration had already blocked CARB’s rules. By canceling EPA waivers under the CRA, California’s truck standards lost legal standing. According to the FTC, those steps, along with the manufacturers’ commitments, achieved the agency’s goals without fines or penalties.

The Commission also stated it will continue monitoring for agreements like the Clean Truck Partnership that reduce competition. It made clear that the FTC will intervene again if similar conduct appears in the future.

Industry Impact of the Clean Truck Partnership

The end of the investigation removes uncertainty over the Clean Truck Partnership. Many industry leaders had warned that California’s rules would raise costs sharply. Electric trucks are far more expensive than diesel models. Andrew Boyle, First Vice Chair of the American Trucking Associations, said: “[E]ach [battery electric vehicle (BEV)] truck costs 2–3× that of today’s clean diesel truck (a roughly $300,000 upcharge per unit) and it’s easy to see that the negative economics of BEVs would be felt severely by the trucking industry and in turn shared by shippers and consumers”.

Other fleet representatives said companies would be forced to buy trucks that were not widely available. CARB itself reported that zero-emission truck prices had increased by more than $80,000 since 2021.

Supporters of California’s plan argued that the Clean Truck Partnership was an important step toward cleaner air and reduced greenhouse gas emissions. But with the EPA waivers revoked, California cannot enforce these regulations as written.

Looking Ahead

The FTC closed its investigation after securing commitments from the largest truck makers to abandon the Clean Truck Partnership and avoid similar agreements. The agency did not rule on whether violations occurred. However, it stressed that open competition must remain central to the trucking market.

Regulators said the combination of federal action and binding promises from truck makers will protect competition in trucking. The FTC emphasized it will continue to act against agreements like the Clean Truck Partnership that could reduce competition.

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