In an attempt to fight fire with fire, the city of Pittsburgh has filed an antitrust lawsuit against several fire apparatus manufacturers.<\/p>\n
A fire apparatus, or truck, is a specialized vehicle used by fire departments to fight flames and ensure public safety.<\/p>\n
The city alleges that mergers between manufacturers are stifling competition \u2014 increasing prices, decreasing output and hurting taxpayers.<\/p>\n
\u201cThey have created highly concentrated and oligopolistic markets that they control, allowing them to cut supply, raise prices, delay deliveries, or force the use of their proprietary parts to the deep financial detriment of localities across the country,\u201d the lawsuit states.<\/p>\n
The International Association of Fire Fighters<\/a> is calling the current situation a \u201ccrisis,\u201d explaining that some departments are waiting over four years and paying twice as much for a truck. <\/p>\n Three manufacturers, REV Group, Oshkosh and Rosenbauer, control more than 70% of production in the U.S. REV and Oshkosh are both defendants in this suit. <\/p>\n An Oshkosh spokesperson told WESA the allegations have no merit: \u201cOshkosh remains\u202ffocused on\u202fdelivering safe, high-quality fire trucks while continuing to reinvest in our U.S. operations to meet record demand.\u201d<\/p>\n In testimony in front of the U.S. senate<\/a>, Dan Meyer, vice-president of sales from Pierce Manufacturing, an Oshkosh subsidiary, claimed lead times and price increases are a result of supply chain issues, increased demand and a labor shortage from the COVID-19 pandemic.<\/p>\n The lawsuit states their qualms \u201ccannot be explained away by COVID supply chain issues.\u201d<\/p>\n Oshkosh and Pierce said they have not acquired a U.S. based fire apparatus manufacturer<\/a> since Oshkosh acquired Pierce in 1996 and that their only North American acquisition has been the Canadian-based company, MaxiMetal, in 2022.<\/p>\n The city alleges Pierce\u2019s 2021 \u201cStrategic Alliance\/Partnership\u201d with defendant Boise Mobile Equipment \u201ceffectively eliminated competition between themselves.\u201d The groups formed a subsidiary, BME Fire Trucks, in which Boise Mobile owns 75% and Pierce owns 25%.<\/p>\n REV, alongside their New York-based private equity investor, American Industrial Partners (AIP), allegedly bought multiple production plants, only to later shut them down, contributing to backlog and price increases. The lawsuit states that REV\u2019s production backlog increased from $965 million in 2020 to $4.18 billion in 2024.<\/p>\n REV and AIP did not respond to requests for comment.<\/p>\n Tim Leech is the vice-president of the Pittsburgh Fire Fighters Union.<\/p>\n \u201cJust simple math \u2014 if the price would double, then we can order half of the fire trucks,\u201d Leech said.<\/p>\n Leech notes that price increases take up money that could be used for additional equipment, training or personnel, leaving departments instead either under-equipped or waiting for repairs.<\/p>\n \u201cWe have had times [in Pittsburgh] that the fire trucks have to go out of service for mechanical issues, and we don’t have a fire truck to replace them in the station \u2014 leaving the neighborhoods that they’re protecting at risk,\u201d said Leech.<\/p>\n Long wait times for new or replacement pieces means apparatuses have to last longer than their planned service life. Leech explained that this results in more mechanical failures, longer downtimes, additional maintenance and higher costs.<\/p>\n \u201cBy hiking prices for trucks and replacement parts without competition, the defendants have made it harder for the City of Pittsburgh and other municipalities across the country to make the required investments in lifesaving safety services and put the burden back on our communities,\u201d said Pittsburgh Mayor, Corey O\u2019Connor, in a press release.<\/p>\n Similar lawsuits have been popping up<\/a> throughout the country, from Milwaukee<\/a>, to Los Angeles<\/a>, to Baltimore<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"In an attempt to fight fire with fire, the city of Pittsburgh has filed an antitrust lawsuit against…\n","protected":false},"author":2,"featured_media":243492,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[73,75,74],"class_list":["post-243491","post","type-post","status-publish","format-standard","has-post-thumbnail","category-pittsburgh","tag-pittsburgh","tag-pittsburgh-headlines","tag-pittsburgh-news"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-pa\/wp-json\/wp\/v2\/posts\/243491","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-pa\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-pa\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-pa\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-pa\/wp-json\/wp\/v2\/comments?post=243491"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-pa\/wp-json\/wp\/v2\/posts\/243491\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-pa\/wp-json\/wp\/v2\/media\/243492"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-pa\/wp-json\/wp\/v2\/media?parent=243491"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-pa\/wp-json\/wp\/v2\/categories?post=243491"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-pa\/wp-json\/wp\/v2\/tags?post=243491"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}