Josh Fisher | FleetOwner
A Mack Truck on the Lehigh Valley Operations production line in March.

Mack blames tariffs for manufacturing layoffs

April 18, 2025
Tariff, regulatory, and other market uncertainties are causing new truck demand to drop. In response, Mack Trucks plans to lay off up to 350 union workers in Pennsylvania.

Mack Trucks is blaming market uncertainty and tariffs for prompting the OEM to lay off at least 250 workers at its Lehigh Valley Operations center, outside Allentown, Pennsylvania, over the coming months. 

“Heavy-duty truck orders continue to be negatively affected by market uncertainty about freight rates and demand, possible regulatory changes, and the impact of tariffs,” Kimberly Pupillo, a Mack spokesperson, told FleetOwner on April 18. “Yesterday, we informed our employees that this unfortunately means we’ll have to lay off 250 to 350 people at LVO over the next 90 days.”

She added that the OEM, which just launched a new highway truck and is celebrating its 125th anniversary, regrets “having to take this action, but we need to align production with reduced demand for our vehicles.”

See also: First impressions of the Mack Pioneer: Old bulldog learns new tricks

Earlier this month, ACT Research downgraded its 2025 North American Class 8 production forecast from 289,000 to 255,100 units for all OEMs. ACT Research President Ken Vieth told FleetOwner that President Donald Trump’s actions are to blame. 

“The president is introducing policies that we believe will negatively impact not just the U.S. but North American and global economies as he upends a system of global trade that has been 80 years in the making,” Vieth said April 15. “That upending is expected to lead to higher inflation, higher interest rates, and ultimately, a loss of U.S. status in the global economy. Coupled with presidential flip-flopping, Trump’s policies have introduced considerable risk and uncertainty into business planning.”

Mack union leaders noted the market uncertainty and production downgrade in a message to their membership. “Due to the market being in decline, there will be a rate and line reduction,” read a letter to union members from Tim Hertzog, United Auto Workers Local 677 shop chair, and Dan Hand, the alternate shop chair. 

They noted the timing “is not great” and hope to have more details on who will be impacted in the coming days. 

The planned workforce reduction comes just 10 days after the legacy OEM celebrated its 125-year history and announced plans to target a larger share of the long-haul trucking segment with a new Class 8 highway truck, the Mack Pioneer. 

The Pioneer is still scheduled to begin production at LVO this summer. 

“The Mack Pioneer represents our commitment to innovation and excellence in the highway segment,” Jonathan Randall, Mack Trucks North America president, said during the truck’s unveiling at the Brooklyn Navy Yard on April 8. “This truck tells the Mack story—it’s bold, iconic, strong and timeless, embodying our DNA and character while taking our customers into the future with advanced design that prioritizes both driver experience and operational efficiency.”

About the Author

Josh Fisher | Editor-in-Chief

Editor-in-Chief Josh Fisher has been with FleetOwner since 2017. He covers everything from modern fleet management to operational efficiency, artificial intelligence, autonomous trucking, alternative fuels and powertrains, regulations, and emerging transportation technology. Based in Maryland, he writes the Lane Shift Ahead column about the changing North American transportation landscape. 

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