SC&RA JOINS 116 INDUSTRY STAKEHOLDERS IN CALL FOR SUSPENSION OF FEDERAL EXCISE TAX ON HEAVY-DUTY TRUCKS AND TRAILERS
Group Requests Suspension Added to Next Coronavirus Economic Recovery Legislation
(Centreville, VA - May 4, 2020)
- The Specialized Carriers & Rigging Association has signed a letter to congressional leaders urging suspension of the 12 percent federal excise tax (FET) on new heavy-duty trucks and trailers through 2021.
SC&RA is joined by 116 other organizations requesting that Congress suspend the FET in the next coronavirus economic recovery legislation.
Trucking industry leaders have united in support of suspending the FET because weakened truck demand compounded by the coronavirus pandemic is expected to suppress truck sales in the U.S. by 50 percent this year. In March alone, Class 8 truck orders dropped by 52 percent compared to last year. This decline in sales is partly due to closures of truck manufacturing facilities and dealerships, some of them government-ordered.
Heavy-duty trucks and trailers are nearly entirely made in North America, and these trucks and trailers are designed, tested, and assembled across the U.S. Suspension of the FET would help save manufacturing, dealership and supplier jobs for this important domestic industry. The letter cites additional environmental and safety benefits of stimulating heavy-duty truck and trailer sales, most of which are used to transport essential products across the country.
“SC&RA supports the FET suspension to help encourage sales of newer, safer and cleaner trucks and trailers, and perhaps more importantly in the immediate term, to help support the jobs of millions of Americans employed in trucking. Our industry, like many others has been severely impacted by the Coronavirus; a controlled tax holiday to help an industry so essential to keeping America moving makes total sense. The trucking industry is working through challenging times and we are urging Congress to take swift action to assist in our recovery,” said Joel Dandrea, SC&RA CEO.
The full text of the letter and list of signatories can be found here