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OMAHA, Neb. (CN) — The state of Nebraska filed a lawsuit against the nation’s four leading truck manufacturers and a trade association, accusing them of conspiring to limit the availability of semi trucks with internal combustion engines in favor of trucks with electric engines.
The state and two trade associations, Energy Marketers of America and Renewable Fuels Nebraska, claim in an antitrust-consumer protection complaint that the collusion is in response to a series of regulations imposed by California and other states.
They say the manufacturers signed an agreement called the “Clean Truck Partnership” (CTP) in which they promised not oppose state electric-truck mandates as well as to reduce the output of diesel powered semi trucks.
“Eliminating diesel-powered semi-trucks is practically impossible to accomplish and would impose enormous costs on Nebraska and Nebraska companies," Nebraska Attorney General Mike Hilgers said in a statement. “Unfortunately, these heavy-duty truck manufacturers, who dominate the market in Nebraska, have agreed to go along with California’s edict — even if Nebraska is successful in overturning the regulation. These manufacturers’ collusion will raise prices, reduce output, increase costs on Nebraskans, and is a classic antitrust violation.”
California has adopted the Advanced Clean Fleets Regulation, which “requires fleets that are well suited for electrification to reduce emissions through requirements to both phase-in the use of zero-emission vehicles (ZEVs) for targeted fleets and requirements that manufacturers only manufacture ZEV trucks starting in the 2036 model year,” according to the California Air Resources Board. California is the world’s fifth largest economy which means other states and companies often have to to dance to whatever tune Sacramento plays.
But electric vehicles have several disadvantages, Hilgers said, and electric batteries won’t work as well in the often frigid winter climate of the Cornhusker State. Electric semis generally have ranges of 200 to 500 miles, whereas semis with internal-combustion engines can travel 1,000 to 2,000 miles before refueling, the plaintiffs say in the complaint. But in the winter, the range of electric trucks will be even more limited.
“The logistics industry is a foundational piece of Nebraska’s economy — from employing thousands of Nebraskans to ensuring that Nebraska’s agriculture and liquid fuel products can get to purchasers around the country and world," the attorney general said in the statement.
The defendants in the case include Daimler Truck North America, International Motors Inc., PACCAR Inc., Volvo Group North America and Truck & Engine Manufacturers Association.
Jed Mandel, the Engine Manufacturers Association president said in an statement to Courthouse News: “While EMA is reviewing the online complaint, which we have not received formally, we can affirm at this time that the allegations are without merit, and we will defend ourselves accordingly.”
Daimler, International and PACCAR declined to comment. Volvo did not answer a request for comment.
The Lincoln County seat of North Platte, Nebraska, is a transportation hub, which is why Hilgers said he and the other plaintiffs filed the case there. Hilgers’ office is based in the city of Lincoln, in Lancaster County in eastern Nebraska, where he files many of his cases.
In a news conference Tuesday in the city of Lincoln, Hilgers was joined by representatives of the plaintiff trade associations and two Lincoln County commissioners.
“I cannot think of a more appropriate place to file suit for this than Lincoln County," Hilgers said, citing the massive Union Pacific Bailey Yard, Interstate 80 and the Inland Port Authority designation the city received last year.
“Lincoln County and North Platte are really going to be, if they’re not already, the epicenter for transportation in the state of Nebraska,” the attorney general said. “And they will be significantly impacted by this agreement if it is allowed to stand.”
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