ATD Legislative Priorities

Support Suspension of the Federal Excise Tax (FET) on New Heavy-Duty Trucks

ATD is currently urging Congress to suspend the FET during the coronavirus pandemic because of the immediate impact it will have on jobs and the economy. Due to the coronavirus pandemic, truck sales in the U.S. are predicted to decline by 50% in 2020. In March, Class 8 truck orders dropped by 52% compared to the same time last year. As a result of government-ordered closures, truck manufacturing plants and truck dealers have either suspended or scaled back operations. To immediately jump start the vital trucking sector and save trucking jobs, Congress should suspend the 12% federal excise tax (FET) on new heavy-duty trucks and trailers until the end of 2021. 

The FET on heavy-duty trucks was first imposed in 1917 to help pay for World War I. This tax on most new heavy-duty trucks, tractors and trailers was originally 3% and has grown to 12% today. As the highest excise tax on a percentage basis that Congress levies on a product, the FET often adds as much as $22,000 to the price of a new heavy-duty truck. With Congress considering ways to revive our economy due to COVID-19, a suspension of the FET would immediately spur the purchase of newer safer and cleaner heavy-duty trucks and trailers and help support and bolster the jobs of the 7.8 million Americans employed in trucking-related jobs and help rebuild our economy. 

➢  Issue Brief: “Help the Economy Recover and Save Jobs in the Trucking Industry: Suspend the Federal Excise Tax on Heavy-Duty Trucks”
➢  Industry Stakeholder Letter to Congressional Leadership on Suspension of the FET on Heavy-Duty Trucks and Trailers – April 2020
➢  Press Release: ATD and 116 Industry Stakeholders Call for Suspension of Federal Excise Tax on Heavy-Duty Trucks and Trailers – April 2020


Modernize the Truck Fleet (MTF) Coalition

MTF CoalitionModernize the Truck Fleet (MTF) is an industry coalition organized to build support for FET repeal and to identify viable funding options to replace this burdensome tax. A major barrier to modernizing the truck fleet is the current federal excise tax (FET) on heavy-duty trucks. As the highest excise tax on a percentage basis that Congress levies on a product, the FET can also depress new heavy-duty truck sales and delay the deployment of cleaner, safer and more fuel-efficient trucks.  As Congress responds to COVID-19 and looks for ways to revive our economy, the MTF coalition is supportive of suspending the FET on heavy-duty trucks and trailers, until the end of 2021, to help retain jobs, revive the economy and modernize Americas’ truck fleets.

Learn more: 

➢ Issue Brief: "Help the Economy Recover and Save Jobs in the Trucking Industry: Suspend the Federal Excise Tax on Heavy-Duty Trucks 
➢ Issue Brief: Modernize the Truck Fleet; Deploy Clean Trucks Today
➢ Issue Brief: Modernize the Truck Fleet, Deploy Newer Safer Trucks on the Highways Today
➢ Letter: Industry Stakeholder Letter to Congressional Leadership on Suspension of the FET on Heavy-Duty Trucks and Trailers – April 2020 
➢ Letter: Industry Stakeholders Send Letter to Congressional Leadership to Repeal the FET – July 2019
➢ Press Release: Momentum Builds as More Organizations Unite Behind Federal Excise Tax (FET) Repeal
➢ Press Release: ‘Modernize the Truck Fleet’ Coalition Launches
➢ Press Release: ‘Modernize the Truck Fleet’ Coalition Applauds New Bipartisan Legislation to Repeal the Federal Excise Tax on Heavy-Duty Trucks and Trailers
➢ Press Release: Modernize the Truck Fleet Coalition Rallies Support for H.R. 2381/S. 1839 to Repeal the FET
Join the ‘Modernize the Truck Fleet’ Coalition

➢  'Modernize the Truck Fleet’ Coalition Members


Support for the Modern, Clean, and Safe Trucks Act of 2019 - H.R. 2381 /S.1839

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It’s been 101 years…
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Congress should repeal the FET
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➢ Issue Brief: “Modernize the Truck Fleet by Repealing the Federal Excise Tax on Heavy-Duty Trucks, Members Are Urged to Cosponsor H.R. 2381/S. 1839”
➢ Video: It's Time to End the Federal Excise Tax on Commercial Trucks
➢ Bill Text: H.R.2381 – the Modern, Clean, and Safe Trucks Act of 2019
➢ Bill Text: S.1839 – the Modern, Clean, and Safe Trucks Act of 2019
Cosponsors of H.R. 2381 /S.1839 – the Modern, Clean, and Safe Trucks Act of 2019
Letter from Rep. Pappas (D - N.H.) and House Democrats Urging Ways and Means Committee Leadership to Consider FET Repeal - December 2019
Letter from Sen. Manchin (D - W. Va.) Urging Senate Finance Committee Leadership to Consider FET Repeal - December 2019
➢ Testimony of American Truck Dealers to House Committee on Ways and Means Regarding FET Repeal – January 2020
➢ Testimony of 63 State and Metro Automotive Executives to House Committee on Ways and Means Regarding FET Repeal - January 2020
Industry Stakeholder Letter to Congressional Leadership on the Repeal of the FET on Heavy-Duty Trucks – July 2019
Reps. LaMalfa (R - Calif.) and Peterson (D-Minn.) 'Dear Colleague Letter' in support of H.R. 2381 - April 2019
Transport Topics: Repeal the FET to 'Modernize the Truck Fleet' by Jodie Teuton, ATD Chairwoman - June 2019

Greenhouse Gas Emissions (Phase 2):

Greenhouse Gas (GHG) Emissions and Fuel Efficiency Standards for Medium and Heavy-Duty Engines and Vehicles

Highway Trust Fund

Read ATD's testimony regarding the Highway Trust Fund: U.S. House Testimony | U.S. Senate Testimony