California cancels 13,000 non-domiciled CDLs

California revoked 13,000 non-domiciled commercial driver’s licenses (CDLs) after the March 6 deadline. The decision was made amid the threat of losing federal funding if the state failed to comply with measures established by the Federal Motor Carrier Safety Administration (FMCSA) and the Department of Transportation.

The move, which had already raised concerns among California trucking companies, is only the beginning. On March 16, a new final federal rule will take effect, reshaping the landscape of non-domiciled commercial driver’s licenses nationwide for carriers across the U.S. trucking industry.

13,000 California drivers lose their CDL

An annual review of the CDL program conducted by the FMCSA in August 2025 found that California had been issuing CDLs to non-domiciled drivers with expiration dates that extended beyond the validity of their legal presence documents. Nearly 25% of the records reviewed did not comply with federal regulations that had been in place even before the interim rule issued in September.

Authorities emphasized that the drivers themselves did not commit any wrongdoing. They followed the state’s application process and provided the documentation requested. The issue was administrative on California’s part, as the state failed to properly link license expiration dates with drivers’ work authorization, affecting thousands of drivers.

“Drivers should never have to pay the price for the State’s mistakes. Today’s decision means thousands of hardworking commercial drivers now face a sudden disruption to their livelihoods while they wait for the DMV to fix a problem of its own making,” Katherine Zhao, senior attorney at the Asian Law Caucus, told CBS News.

The state canceled approximately 13,000 licenses on March 6 after the D.C. Circuit denied California’s request for an emergency stay and the state exhausted its remaining legal options. In addition, when a CDL is canceled, the driver’s non-commercial Class C license is also invalidated, meaning affected drivers cannot legally operate even a personal vehicle until they apply for a new license. Those who choose to reapply for a CDL must pay a non-refundable fee and will receive a temporary non-commercial license while awaiting a decision, with no clear timeline for when corrected credentials will be issued.

CDLs held by non-domiciled drivers who were not affected will remain valid until their current expiration dates.

Supply chain concerns grow, and FMCSA final rule approaches

The issue has reverberated across the trucking industry, not only because of the immigration aspect but also due to the potential impact that the loss of 13,000 drivers could have on the U.S. supply chain.

Additionally, an updated FMCSA final rule restricting eligibility requirements for non-domiciled CDLs nationwide is scheduled to take effect on March 16.

The final rule effectively replaces a temporary rule issued in September 2025 by Transportation Secretary Sean Duffy, which suspended the issuance of CDLs for non-domiciled individuals. The new rule maintains the stricter provisions of that interim rule, including:

• Visa requirements – Holders of H-2A, H-2B, and E-2 visas may qualify, provided they undergo enhanced interagency verification.
• Removal of Employment Authorization Documents (EADs) – EADs will no longer be accepted as proof of eligibility due to systematic noncompliance by state driver licensing agencies (SDLAs). Applicants must instead present a valid foreign passport and specific Form I-94 documentation.
• Mandatory SAVE verification – States must check the Systematic Alien Verification for Entitlements (SAVE) system to confirm the legal immigration status of every applicant.