Uncertainty, regulatory challenges, and a changing landscape are shaping the transition to cleaner transportation. At this critical juncture, vehicle fleets face the urgent need to adapt to a constantly evolving environment while maintaining their commitment to more sustainable technologies, according to TRC Companies ‘ sixth State of Sustainable Fleets 2025 Market Report .
Presented at the Advanced Clean Transportation (ACT) Expo , the analysis revealed that despite regulatory uncertainty, the industry continues to invest in solutions that promise to transform the U.S. commercial transportation landscape.
He emphasized that, amid fluctuating federal policies and the push by U.S. states toward zero-emission vehicles (ZEVs) and near-zero-emission vehicles (NZE), the industry continues to focus on the development of sustainable technologies.
“The rapidly evolving political landscape has created uncertainty, but the industry response has been clear: adoption of renewable fuels and electric vehicles continues, demonstrating the strong fundamentals for growth in this sector , ” explained Nate Springer, vice president of Market Development at TRC Companies.
Paul Rosa , Penske ‘s senior vice president of fleet planning and purchasing , spoke about the challenges facing the transportation industry. He highlighted how the company is helping its customers adapt to a cleaner future. He also mentioned that Penske plays a key role in the adoption of low-carbon technologies, helping to reduce fleet emissions.
The report in figures
The analysis reveals significant growth in several areas, with renewable diesel (RD) production increasing by 28% in the first half of 2024 compared to the same period last year. Furthermore, fleets adopting RD reached a record high of 39%, a figure that reflects the effort to reduce emissions without abandoning combustion engines.
Renewable natural gas (RNG) consumption also saw a 234 percent increase over the past six years, supported by the expansion of RNG stations, which increased by 63 percent.
The battery electric vehicle (BEV) market also reached a milestone in 2024, with 41,472 medium- and heavy-duty (MD/HD) vehicles registered. The highlight of this progress is that 92% of these new registrations were commercial cargo vans, indicating that the electric cargo vehicle sector is gaining significant momentum, especially in the commercial transport sector.
Hydrogen fuel cell electric vehicles (FCEVs) , particularly in public transport , faced challenges due to the bankruptcy of two leading manufacturers in the sector. Despite these obstacles, the hydrogen electric bus market continues to show progress.
This advance in the adoption of BEVs and FCEVs seeks to shift toward cleaner and more sustainable transportation solutions, despite challenges in terms of infrastructure and the impact of events such as bankruptcies in the hydrogen industry .
In 2025, federal mandates on zero-emission vehicles, such as the EPA’s Clean Truck Rule, are expected to be affected by decisions by U.S. President Donald Trump.
However, state and local funding remains a crucial source of support, with more than $13.5 billion available for ZEV and NZE-related projects.
“The industry response has been clear: the adoption of renewable fuels and electric vehicles continues, demonstrating the strong fundamentals for growth in this sector ,” Springer said.
Despite the challenges, the industry’s response has not been passive. Companies like Volvo Trucks North America continue their commitment to being CO2 neutral by 2040, with solutions like the Volvo VNR Electric , designed to meet current and future demands for sustainable fleets.
“Despite regulatory uncertainty, we are seeing fleets adopting cleaner, safer, and more efficient technologies,” said Peter Voorhoeve , president of Volvo Trucks North America.
Penske Transportation Solutions, Volvo Trucks, and Chevron agree that collaboration between the public and private sectors will be essential to overcome regulatory hurdles.
In this regard, Stacey Orlandi , president of Chevron, emphasized the importance of cooperation to expand low-carbon energy solutions, especially in the area of renewable fuels such as biodiesel and RNG.
Although the sector faces challenges of uncertainty and regulatory changes, investments in clean technologies remain the way to reduce the transportation carbon footprint.
Springer said the industry must continue to invest in the right infrastructure and adapt to regulatory changes to ensure the transformation toward more sustainable fleets is effective.
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