During Earth Week, Governor Newsom announces California surpasses $1 billion in clean truck and bus incentives, as Trump surrenders clean transportation future to China

“Reaching $1 billion in funding for clean trucks and buses marks a major milestone for California’s efforts to reduce harmful pollution,” said California Air Resources Board (CARB) Chair Lauren Sanchez. “It shows that our efforts are delivering real results — improving air quality, supporting businesses, and reducing pollution in communities most impacted by freight and transportation emissions.”

 The incentive program anchors California’s clean transportation adoption, and demand continues to surge — nearly $200 million in incentive requests were submitted on the first day of the September 2025 funding round, followed by an additional reopening in December 2025. Funding remains available, and fleets are encouraged to apply through participating dealers.

What they’re saying

To hear how California HVIP funds are making a difference, watch Spotlight on Success video with 4Gen Logistics and read what fleets are saying about HVIP:

“HVIP vouchers have helped our customers try before they buy,” said Paul Gioupis, CEO, Zeem Solutions. “Many of the fleets that started with just one voucher are now expanding their electric operations nationwide.”

“I’d tell anyone considering HVIP: It’s worth it,” said Abel Aranda, Arandateam Delivery, Inc., FedEx Ground Service Provider. The process was easy, the support was great, and the benefits are immediate. You save money, your drivers are happier, and you’re helping move the industry forward.” 

“The fact that we’re buying 61 more trucks, and another 20 after that, shows how strongly we believe in this transition,” said Brady Matoian, CEO, OK Produce. “HVIP played a critical role in helping us take that first leap.”

Incentives powering California’s zero-emission freight future

California is continuing to accelerate zero-emission transportation with new funding available through HVIP, the state’s primary incentive program for clean trucks and buses. Demand is surging, with $200 million requested on the first day applications opened last Fall

Funded mainly through California’s Cap-and-Invest Program, formerly known as Cap-and-Trade, the incentive program saw participation skyrocket 177% from 2023 to 2024, marking record demand for clean and zero-emission trucks and buses. In February of this year alone, more than 200 HVIP-funded vehicles hit the road with the help of $31 million in incentives — a pace that shows no signs of slowing in 2025.

Launched in 2009, HVIP helps fleets and businesses transition to zero-emission vehicles through point-of-sale discounts. The program remains a cornerstone of California’s clean transportation transition.

California doubles down on clean transportation investments

Clean freight is only part of the picture. California is also building out the charging infrastructure that passenger vehicle drivers need  because a complete clean transportation future requires both the trucks moving goods and chargers powering the cars.

In January 2025, California shattered its clean cars goal, surpassing 2.5M new ZEV sales — showing that policy certainty creates resilient markets global investors can trust.

California is doubling down on its clean transportation leadership. In his January 9 budget, Governor Newsom proposed a new, nearly half-a-billion-dollar incentive program when matched with a required automaker incentive to accelerate ZEV adoption and respond to the loss of the federal ZEV tax credit, while supporting American automotive innovation at a critical moment—just as the Trump administration has abandoned the good-paying jobs of this global market. 

Competing to win the future requires investing in clean energy technologies, strengthening partnerships with allies, and reducing dependence on China in critical sectors.

Instead, the Trump administration repealed key parts of the Inflation Reduction Act and Bipartisan Infrastructure Law, and imposed broad tariffs that have raised costs for American consumers while straining relationships with close allies. Despite Donald Trump’s efforts to cede the clean energy economy to China, California is ensuring American workers and manufacturers can compete and win in the industries that will define this century.

The Golden State’s commitment extends beyond consumer incentives. In the latest Clean Transportation Program Investment Plan Update, the CEC allocated $98.5 million in light-duty zero-emission vehicle (ZEV) infrastructure funding for fiscal year 2025-2026 to focus on Level 1 and Level 2 charging in locations with longer vehicle dwell times, including at-home charging with a specific focus on multifamily residences.

The CEC is also continuing to study infrastructure needs across the state, with the following planned for release later this year: 

The gold standard for American EV infrastructure  

California is tearing down barriers to ZEV deployment, speeding up EV charging station installations, and deploying infrastructure in hard-to-reach and low-income areas.

Becoming an EV driver in California is increasingly getting easier. There are now over 200,000 public and shared EV charging stations statewide. EV chargers can be found at grocery stores, park-and-ride lots, and even gas stations, whereas shared EV chargers can be found at apartment complexes, workplaces, doctors’ offices, sports facilities, and other parking areas with some level of restricted access. This statewide network of public and shared private chargers is in addition to the estimated 800,000 EV chargers installed in California homes.