Port of Los Angeles offers USD 75 million for zero emission drayage trucks

Credit: David Brown

Estimated reading time: 4 minutes

The Port of Los Angeles opened applications on Monday for a USD 75 million incentive programme that offers individual carriers up to USD 24 million to purchase battery-electric Class 8 drayage trucks, accelerating the US largest container port’s transition to zero emission terminal operations.

The Zero Emission Truck Purchasing Incentive Project combines USD 50 million from a US Environmental Protection Agency Clean Ports Program grant with USD 25 million from the port’s Clean Truck Fund Rate . Eligible applicants are Licensed Motor Carriers registered in the Port Drayage Truck Registry and must propose the purchase of at least 10 battery-electric trucks, with funding capped at USD 300,000 per vehicle and USD 24 million per carrier .

The incentive scheme forms part of a broader USD 600 million allocation under the EPA Clean Ports Program, involving the Port of Los Angeles, the Harbor Community Benefit Foundation, and marine terminal operators including APM Terminals, Everport Terminal Services, Fenix Marine Services, TraPac Inc., and Yusen Terminals LLC . The funding supports the port’s goal of achieving 100% zero emission terminal operations while fostering high quality jobs and community engagement .

Trucking sector faces transition pressure

The programme targets the port’s drayage fleet, which moves containers between marine terminals, warehouses, distribution centres, and rail facilities across Southern California. The Port of Los Angeles and neighbouring Port of Long Beach have set a 2035 deadline for transitioning port drayage trucks to zero emissions under the San Pedro Bay Ports Clean Air Action Plan .

The Port of Los Angeles handled 10.2 million TEUs in 2025, ranking as the largest US container port for 26 consecutive years . Port operations and commerce at the San Pedro Bay port complex facilitate one in nine jobs across Los Angeles, Orange, Riverside, San Bernardino, and Ventura counties . Cargo value through the port reached USD 301 billion in 2025 .

Contracting questions for the incentive programme must be submitted by 20 July, with proposals due by 3 p.m. on 3 December . The port is seeking proposals from trucking companies capable of deploying electric vehicles at scale, with funding tied to vehicle purchases and compliance with programme requirements .

EPA Clean Ports Program expands port investment

The Clean Ports Program, authorised under the Inflation Reduction Act of 2022, has awarded nearly USD 3 billion across 53 projects at US ports in 26 states and territories . The programme funds zero emission port equipment and infrastructure, including cargo handling equipment, drayage trucks, locomotives, vessels, and shore power systems .

The EPA has issued waivers for certain domestic content requirements to facilitate equipment procurement. A targeted waiver allows grantees to purchase zero emission mobile port equipment that does not meet the 55% domestic content requirement, provided the equipment is manufactured in the United States and contracted by 31 December 2027 .

Broader implications for US port logistics

The Port of Los Angeles incentive programme signals increasing regulatory and financial pressure on drayage carriers to transition to zero emission equipment, with implications for operating costs and freight rates on the US West Coast. Carriers that secure incentives may gain competitive advantages through lower fuel and maintenance costs, while those unable to transition face potential access restrictions under the San Pedro Bay Clean Air Action Plan.

The San Pedro Bay port complex handles approximately 31% of all containerised international waterborne trade in the United States . The transition to zero emission drayage operations at the complex is likely to influence equipment purchasing patterns, charging infrastructure investment, and trucking industry consolidation across the West Coast supply chain.

The Port of Los Angeles, a department of the City of Los Angeles governed by the Board of Harbor Commissioners, operates as a landlord port generating revenue from leasing and shipping service fees without city tax support . The port’s capital improvement programme stands at USD 122 million for fiscal year 2024/2025 .

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