Volvo Group North America has announced plans to lay off approximately 800 workers across three of its U.S. facilities over the next three months. The move comes amid declining market demand and growing economic uncertainty, which the company attributes in part to the impact of trade tariffs introduced during President Donald Trump’s administration.
The affected facilities include the Mack Trucks plant in Macungie, Pennsylvania, as well as Volvo Group operations in Dublin, Virginia, and Hagerstown, Maryland. The layoffs are expected to begin gradually, with reductions scheduled to continue into mid-year.
The company cites increased manufacturing costs and reduced demand for heavy-duty vehicles as key factors in its decision. President Trump’s tariffs on imported materials and components have significantly raised the cost of production, putting pressure on manufacturers across the industry.
Jim Rowan, CEO of Volvo Group, stated that the company is intensifying its focus on cost-consciousness and operational efficiency in response to current economic conditions. “While these decisions are never easy, they are necessary to ensure the long-term competitiveness of our operations,” Rowan said.
Despite the job cuts, Volvo maintains that it remains committed to its U.S. workforce and will continue to monitor market conditions closely to adapt its strategy moving forward.
