The Federal Trade Commission (FTC) has concluded its antitrust investigation into the “Clean Truck Partnership,” a 2023 agreement between major truck manufacturers and the California Air Resources Board (CARB). The FTC’s inquiry centered on whether this accord, which committed companies to adhere to California’s stringent emissions standards, potentially violated antitrust laws by limiting competition.
In 2023, CARB and leading truck manufacturers—including Daimler Truck, International Motors, PACCAR, and Volvo Group—entered into the Clean Truck Partnership. This agreement aimed to align the industry with California’s ambitious zero-emission vehicle (ZEV) targets, requiring 100% clean truck sales by 2036. The partnership was seen as a collaborative effort to reduce greenhouse gas emissions and promote cleaner air. ([gov.ca.gov](https://www.gov.ca.gov/2023/07/06/california-truck-manufacturers-strike-agreement-on-zero-emission-transition/?utm_source=openai))
However, the FTC raised concerns that the agreement might suppress competition by collectively limiting the production and sale of certain truck models. The Commission emphasized that such coordinated actions among competitors could lead to reduced output and higher prices, potentially harming consumers. ([esgtoday.com](https://www.esgtoday.com/u-s-ftc-drops-antitrust-investigation-against-volvo-daimler-after-truckmakers-commit-to-not-enforce-california-emissions-reduction-agreement/?utm_source=openai))
In response to the FTC’s investigation, the involved truck manufacturers have committed to dissolving the Clean Truck Partnership and refraining from similar agreements in the future. This decision effectively nullifies the previous accord with CARB. ([eenews.net](https://www.eenews.net/articles/truck-makers-vow-to-shun-california-emission-deals-after-ftc-probe/?utm_source=openai))
Concurrently, the manufacturers have filed a federal lawsuit against CARB and California Governor Gavin Newsom. The suit challenges the state’s authority to enforce its emissions standards, especially after President Donald Trump’s administration revoked waivers that had allowed California to set its own vehicle emissions regulations. The manufacturers argue that the conflicting federal and state requirements create regulatory uncertainty, complicating compliance efforts. ([reuters.com](https://www.reuters.com/legal/litigation/daimler-volvo-other-truckmakers-sue-california-block-emissions-rules-2025-08-12/?utm_source=openai))
These developments underscore the ongoing tension between federal and state authorities over environmental regulations and the automotive industry’s role in addressing climate change. The dissolution of the Clean Truck Partnership and the ensuing legal battles highlight the complexities of balancing environmental objectives with competitive market practices.