Mack Trucks is laying off hundreds of workers at Lehigh Valley factory amid uncertainty and Trump’s tariffs

Mack Trucks will lay off between 250 and 350 workers at its Lehigh Valley factory in the next three months, the company said, citing economic uncertainty and tariffs.

“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,” Mack spokesperson Kimberly Pupillo said in a statement.

The layoffs could affect about 10% of the company’s 3,050 employees at its Lehigh Valley Operations facility in Macungie, where workers assemble Class 8 Mack trucks for North American and export markets. “We regret having to take this action, but we need to align production with reduced demand for our vehicles,” Pupillo said.

The workforce reductions by an iconic American brand in a region that’s often a political bellwether for swing-state Pennsylvania is unwelcome news for President Donald Trump, who has imposed sweeping import taxes on all goods entering the United States in a bid to revive domestic manufacturing.

It comes as Trump has faced declining approval ratings on his stewardship of the economy and as Republican members of the GOP-controlled Congress have faced heat from constituents at town halls. A CBS News poll released Sunday found 44% of Americans approve of Trump’s handling of the economy, down 4% from an earlier March survey.

Republicans in the Lehigh Valley flipped the local congressional seat in last year’s elections, and national Democrats have already said they will target the district in next year’s midterm campaign.

“Trump’s delusional and destructive tariffs are costing families in my region their livelihoods!” State Rep. Josh Siegel, a Lehigh County Democrat, wrote on X Thursday night. “Tariffs aren’t saving American industry, they’re raising costs on all families, destroying our economy, and creating uncertainty for families and businesses!”

Trump at the White House on Thursday said he’s in “no rush” to negotiate trade deals with other countries, the Associated Press reported, adding that “tariffs are making us rich.”

Mack was founded in 1900 and since 2000 has been a subsidiary of Swedish multinational Volvo. Mack says all trucks destined for the U.S. and Canada are assembled at American plants. But the company also imports parts and materials — including steel and aluminum — from “a number of countries,” Pupillo said.

Trump has imposed 25% levies on all foreign steel and aluminum products, as well as a 25% tax on auto imports. Other goods face a baseline 10% import tax, while the White House said Tuesday that tariffs on Chinese exports are as high as 245% for some goods.

In addition to the domestic market, Mack exports U.S.-built trucks to other countries, meaning the company could face higher costs from retaliatory tariffs imposed by foreign governments, though many have held off on doing so as they seek to ease tensions with the Trump administration.

Tim Hertzog, shop chairman for United Auto Workers Local 677, said he met with the company Thursday. “Due to the market being in decline, there will be a rate and line reduction,” he wrote in a letter to union members that was posted on Facebook.

In addition to the Pennsylvania cuts, Mack plans to lay off up to 100 workers at a factory in Hagerstown, Md., according to trade publication FreightWaves.

The trucking industry is grappling with a variety of headwinds.

North American net orders of Class 8 heavy-duty trucks fell to 15,700 units in March, down 22% from the year-earlier period, according to FTR Transportation Intelligence, a freight forecasting firm.

“The implementation and continued threat of tariffs among North American trading partners combined with ongoing economic and freight market uncertainty have significantly dampened fleet investment in Class 8 trucks and tractors in recent months,” the firm said in an analysis.

About 40% of heavy-duty trucks sold in the U.S. are imported from Canada and Mexico, according to S&P Global.