Truck manufacturers turn against California over emissions regulations

Daimler Truck and three other major truck manufacturers have sued the US state of California for excessively strict emission regulations and are simultaneously burying their Clean Truck Partnership, which was launched in California in 2023. The OEMs claim they feel victimised by contradictory regulations at federal and state level.

The uproar among truck manufacturers was triggered by US President Donald Trump’s decision in June to revoke California’s exemption for stricter emissions standards. As a result, Daimler Truck, Volvo, Paccar and International Motors say they are ‘caught in the crossfire’ between the US federal government and the state. Their lawsuit, filed on Monday, is now directed against California. The argument is that the US government’s decision overrides the state’s regulations, and the resulting regulatory uncertainty causes harm because production cannot be reliably planned.

In addition, the following side issue: on Tuesday, the US Federal Trade Commission (FTC) dismissed antitrust concerns about the Clean Truck Partnership, which was formed in 2023 by a total of nine truck manufacturers (including the aforementioned quartet), the California Air Resources Board (CARB) and the Engine Manufacturers Association (EMA). However, the parties involved are now simultaneously breaking up the former flagship cooperation in court. The alliance partners had initially undertaken to fulfil the stricter Californian vehicle standards. In return, the parties involved gave each other planning security, so to speak.

That is now over. The alliance is broken. The lawsuit filed with the federal court in Sacramento marks ‘a dramatic change in strategy’, as the boerse-express portal writes. The quartet is attacking the California Air Resources Board (CARB) and Governor Gavin Newsom head-on from their weakened position. The hoped-for stability of a standardised emissions regulation has turned out to be deceptive.

It is still unclear how the other companies in the former alliance, including Cummins, Ford, General Motors and Stellantis, will react. They have not taken part in the lawsuit.

ftc.gov, politico.com, reuters.com