FTC Closes Antitrust Investigation Into Truckmakers Over California Emissions Pact

FTC Closes Antitrust Investigation Into Truckmakers Over California Emissions Pact

by  
Seneca ESG  
- August 19, 2025

Washington, D.C., Aug. 18 – The U.S. Federal Trade Commission (FTC) has closed its antitrust investigation into major truck and engine manufacturers Volvo Group, Daimler Truck, International Motors, and PACCAR, following commitments from the companies to not enforce a 2023 emissions agreement with the California Air Resources Board (CARB).

The agreement, known as the Clean Truck Partnership, was designed to support CARB’s strict vehicle emissions regulations, including mandates for zero-emission truck sales and tighter standards on diesel engines. The FTC raised concerns that the pact, made among companies controlling nearly the entire U.S. heavy-duty truck market, could suppress competition and raise vehicle prices.

In response to the investigation, the manufacturers issued letters stating the agreement is legally unenforceable and pledged not to use it to constrain market competition or pressure other companies.

Alongside this regulatory resolution, the truckmakers have filed a lawsuit against CARB and California Governor Gavin Newsom, arguing they are now subject to conflicting emissions standards following President Trump’s revocation of California’s EPA waivers in June 2025. The suit seeks to block enforcement of CARB’s rules and clarify federal versus state authority in climate regulation.

The FTC stated that the move safeguards competition in the trucking industry and prevents regulatory agreements from being used as cover for collusion.

Source:  

https://www.esgtoday.com/u-s-ftc-drops-antitrust-investigation-against-volvo-daimler-after-truckmakers-commit-to-not-enforce-california-emissions-reduction-agreement/

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