The NWRA and several of its member companies joined with dozens of other national, state and local organizations and companies on a letter to congressional leaders urging the suspension of the 12 percent Federal Excise Tax (FET) on the purchase of new heavy-duty trucks and trailers through the end of 2021. The FET increases the cost of new trucks and trailers by $22,000 on average.
“As Congress prepares to pass a continuing resolution to keep the government running before they leave town to campaign for reelection, we urge its leaders to suspend the FET and jumpstart the manufacture and sale of the vehicles that are the backbone to our industry,” said NWRA President and CEO Darrell Smith. “Doing so would serve as an effective means to immediately spur sales of newer, cleaner trucks, which would retain jobs in the trucking sector and help rebuild our economy.”
Truck sales in the United States are predicted to decline by 50 percent in 2020 due to the current global health crisis. In March, truck orders dropped 52 percent compared to last year. A suspension of the FET would increase sales of trucks and, in turn, save or bring back the livelihoods of almost 8 million Americans employed in jobs related to trucking.