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Mack union calls planned Mexican plant ‘a slap in the face’
Stacy Wescoe//April 12, 2024//
“A Slap in the face,” that’s what Mack Truck‘s union United Auto Workers 677 is calling news that Mack parent company, The Volvo Group, plans to build a heavy-duty truck manufacturing facility in Mexico.
The company said the new plant will supplement its U.S. production and will not impact Lehigh Valley Operations or operations in Virginia.
“We are extremely disappointed in Volvo’s decision to build a Class 8 plant in Mexico as our local leadership have been working closely with local and state government officials to build a state-of-the-art plant in the Lehigh Valley,” said UAW Shop Chair Tim Hertzog in a letter on the union’s website.
He said the union is looking into the possible legal ramifications of the plan as well as contractual obligations for build rates at LVO operations.
The Volvo Group announced Thursday that it will build a new heavy-duty truck manufacturing plant in Mexico to supplement the Group’s U.S. production. The plant will provide additional capacity to support the growth plans of both Volvo Trucks and Mack Trucks in the U.S. and Canadian markets, and support Mack truck sales in Mexico and Latin America.
The company did note in the announcement that it has invested more than $73 million over the last five years in Lehigh Valley Operations expansion and upgrades and is currently investing an additional $80 million to prepare for future production.
The new plant in Mexico will be approximately 1.7 million square feet in size and will focus on production of heavy-duty conventional vehicles for the Volvo and Mack brands.
The Volvo Group said the Mexico plant is expected to be operational in 2026.
