Big Truck Manufacturers Allowed to Break 'Clean Truck Partnership' Promises After Court Ruling

Groups Welcome Court Rejection of Many of Truck Maker Claims While Warning Over Temporary Halt to Clean Truck Partnership

Business groups, clean freight advocates and public health organizations are warning of truck manufacturers' continued failure to supply clean and affordable trucks following a court decision on Friday to temporarily allow them non-compliance with their own prior promises on truck standards in California.

The court decision means Daimler, Volvo, Paccar and International Motors temporarily do not need to comply with the Clean Truck Partnershipthey signed with California's Air Resources Board (CARB) in 2023 while the court considers the rest of the briefing in the case. The court did, however, refuse to accept the truckmakers' request that it preemptively block other CARB clean truck legal authorities.

"Plaintiffs' motion for a preliminary injunction will be granted in part and denied in part," Judge Dena Coggins stated in her judgement.

Separately, CARB filed a lawsuitagainst the four manufacturers last week for violating the terms of the agreement, with CARB Chair Lauren Sanchez stating "CARB and several other manufacturers have upheld their end of the deal, but these four manufacturers have reneged on theirs". CARB also will seekto have portions of the manufacturers' original lawsuit dismissed on November 21st.

Public Citizen, Oregon Business for Climate, Sierra Club, Natural Resources Defense Council and others wroteto the manufacturers last month warning of the damage to the trucking industry if the lawsuit went ahead and they failed to honor their commitments to truck electrification.

Diesel truck sales by truck manufacturers in North America are collapsing:

• Sales by Daimler, North America's biggest truck maker, fell by 20% in Q2and almost 40% in Q3.
• Volvo Group sales were down 14% as reported in its recent Q3 reporting
• Traton, parent company of International Motors, reporteda 36% fall in North America sales in the first nine months of the year.
• North American truck sales from Paccar in Q3fell by 34% compared to the previous year.

Despite reporting growth in sales of electric trucks, the truck manufacturers are doubling down on diesel and siding with the U.S. federal governmentin trying to kill the electric truck market.

The truck manufacturers are on the offensive against standards in Europe too. Daimler, Volvo and Scania (owned by Traton) wroteto the European Commission asking it to weaken emissions rules, despite their own industry body this week reportinga surge in electric truck sales and a drop in diesel truck sales. Other parts of the trucking industry are at odds with the truck manufacturers: major retailers and fleet operators wroteto the European Commission in early October urging it to bring in binding standards "to further accelerate the shift to clean road freight".

Craig Segall former deputy executive officer and assistant chief counsel of the California Air Resources Board:

"The bottom line is that this legal debate is a sideshow. The real scandal here is that the truck makers will run to court rather than just compete on price for clean trucks - even as companies globally get ready to eat their lunch. This legal win just advertises their long-term business mistakes."

Katherine García Sierra Club Clean Transportation for All Director:

"We are disappointed that trucking manufacturers will temporarily be able to violate their agreed upon commitments under the Clean Truck Partnership. Just two years ago, these companies voluntarily agreed to spur electric truck progress regardless of federal policy changes. Backpedaling on these electric truck commitments will hurt the health of communities already overburdened with diesel pollution and threaten economic progress. We will continue to sound the alarm about these trucking companies' disastrous, short-sighted actions."

About the Sierra Club

The Sierra Club is America's largest and most influential grassroots environmental organization, with millions of members and supporters. In addition to protecting every person's right to get outdoors and access the healing power of nature, the Sierra Club works to promote clean energy, safeguard the health of our communities, protect wildlife, and preserve our remaining wild places through grassroots activism, public education, lobbying, and legal action. For more information, visit https://www.sierraclub.org.