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Prices have doubled in 10 years, union says

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Some cities wait years for new trucks

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Groups also call for study of equipment, parts

By Jody Godoy

May 13 (Reuters) - The largest firefighters' labor union

in the U.S. is demanding antitrust authorities investigate the

companies that make fire trucks, saying industry consolidation

has led to skyrocketing costs and years-long wait times,

endangering fire fighters and the public.

The U.S. Department of Justice and Federal Trade Commission

should probe the fire and emergency vehicle industry, where

three companies - REV Group ( REVG ), Oshkosh, and

Rosenbauer - together make up around two-thirds of the

market, the International Association of Fire Fighters said in a

letter.

Truck prices have doubled in the past decade, with ladder

trucks now costing as much as $2 million each, while fire

departments are facing backlogs as long as four years, said

IAFF, which represents fire and emergency workers in the U.S.

and Canada, and American Economic Liberties Project, an

antimonopoly group.

"It's really a critical hazard in public safety," IAFF

President Edward Kelly told Reuters.

Oshkosh spokesperson Lisa Barwick said the company is

investing in manufacturing capacity, technology, and process

improvements to meet demand.

"Global supply challenges, unprecedented demand, and

significant inflation since the pandemic started in 2020 have

resulted in extended delivery times and increased prices," she

said.

A REV Group ( REVG ) spokesperson also cited demand, labor shortages

and cost increases as driving price increases and delays.

"In response, we have increased production of our fire and

emergency vehicles by nearly 30% in the last two years,

introduced new lines of semi-custom trucks with faster ship

times, and continued to invest in training programs for skilled

talent," the spokesperson said.

Rosenbauer did not immediately respond to a request for

comment.

IAFF and AELP said high prices and long waits are

endangering public safety in communities facing natural

disasters, citing reports that dozens of fire trucks were out of

commission during the wildfires that devastated two Los Angeles

communities and killed at least 29 people earlier this year.

From Atlanta, to Houston, to San Francisco, cities and towns

are facing a crisis where demand for new fire trucks outstrips

availability and funding, Kelly said.

On top of long wait times, fire departments are being pushed

into contracts with "floating" pricing structures, where the

final price of a truck may go up after an order is placed.

"We are paying the price for all these corporate decisions.

It serves the investor well, but it doesn't serve the public

when you call 911 and the ladder truck is out of service," Kelly

said.

The DOJ or FTC should use their authority to investigate the

industry, and the FTC should launch a study of how consolidation

is affecting fire departments' access to a broader range of

parts and services, they said.

Fire departments are seeing the effects of consolidation on

everything from dispatch software to personal protective

equipment and vehicle parts, Kelly said.