Tysons, VA (June 2, 2026) – Today, the American Truck Dealers (ATD) released the following statement after Sens. Todd Young (R-Ind.) and Angela Alsobrooks (D-Md.) reintroduced the “Modern, Clean, and Safe Trucks Act of 2026,” a bill that would repeal the 12 percent Federal Excise Tax (FET) on new heavy-duty trucks and trailers.

Enacted more than a century ago, the FET is the highest percentage-based excise tax in the U.S. tax code. This burdensome tax hinders dealers' ability to sell the safest and cleanest trucks available today.

"The 12 percent Federal Excise Tax is outdated, inefficient, and punitive—to both dealers and fleets routinely adding over $20,000 to the price of a new heavy-duty commercial motor vehicle," said ATD Chairman and President and CEO of Advantage Truck Group Kevin Holmes. "As we look to usher in a more technologically advanced fleet, it is critical to reassess burdensome tax policies like the FET. Eliminating these barriers to fleet turnover will promote economic growth and lead to cleaner, safer trucks on America's streets and highways. America’s truck dealers commend Sens. Young and Alsobrooks for their bipartisan leadership on this important issue."

Young said, “Repealing this tax is a simple step that can help the American trucking industry and consumers. This tax hurts the small businesses and independent truckers that are the core of American trucking, and it promotes the usage of older, less efficient trucks. Cutting the federal excise tax on heavy-duty trucks and trailers will lead to newer, safer, and cleaner trucks on America’s roads.”

Alsobrooks added, “I am proud to partner with Sen. Young in introducing the Modern, Clean, and Safe Trucks Act of 2026 to repeal the excise tax on heavy trucks and trailers. This outdated tax incentivizes using older, less efficient trucks. Our bill supports a modern trucking industry allowing for the adoption of newer trucks that are safer and more fuel-efficient. In doing so, the bill supports small businesses, independent truckers, and our environmental goals – it just makes sense.”

On April 30, Rep. Darin LaHood (R-Ill.) became the lead sponsor of the House companion bill, H.R. 2424, the Modern, Clean, and Safe Trucks Act. The bill was originally introduced by the late Rep. Doug LaMalfa (R-Calif.).

For more information, see ATD’s Issue Brief on repealing the Federal Excise Tax.