U.S. Sen. Todd Young (R-IN) on June 2 proposed bipartisan legislation that aims to make it less expensive for America’s trucking companies and independent operators to modernize their fleets by repealing the 12 percent federal excise tax on heavy trucks and trailers.
“Repealing this tax is a simple step that can help the American trucking industry and consumers,” Sen. Young said. “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,” he added.
Sen. Young sponsored the Modern, Clean, and Safe Trucks Act of 2026, S. 4657, alongside lead cosponsor U.S. Sen. Angela Alsobrooks (D-MD) to repeal what they say is the highest excise tax levied on any product in the country.
The 12 percent excise tax can add as much as $15,000 to $30,000 to the cost of a new heavy truck, trailer, semitrailer chassis, or tractor, according to a bill summary provided by Sen. Young’s staff.
“This outdated tax incentivizes using older, less efficient trucks,” said Sen. Alsobrooks. “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.”
The American Trucking Associations and the American Truck Dealers support S. 4657, which is now under consideration by the U.S. Senate Finance Committee.
“Our industry is grateful to Senators Young and Alsobrooks for their leadership on this issue to improve highway safety, reduce emissions, and strengthen our economy,” said American Trucking Associations President & CEO Chris Spear.