Daimler Truck North America laying off 2,000 workers as sales drop

Daimler Truck North America is laying off roughly 2,000 workers amid declining truck orders and an overall strategic shift.  

The company on July 11 announced layoffs of 573 workers at facilities in Mount Holly and Gastonia near Charlotte, N.C., effective Sept. 9, according to a WARN notice from the North Carolina Department of Commerce.  

The layoffs will come across five locations including Detroit; Portland, Ore.; Saltillo, Mexico and the two Charlotte facilities, a Daimler Truck North America spokesperson told Equipment Finance News.  

“As we navigate a challenging economic environment, we’ve seen a notable slowdown in new truck orders, particularly in our medium-duty, on-highway and electric vehicle segments.”

— Daimler Truck North America

“To align with current market conditions, we’ve made the tough decision to implement workforce reductions across several facilities. … Each site will experience different impacts based on local business needs.” 

The announcement does not affect Daimler Truck Financial Services or its planned headquarters relocation to Charlotte next year, the spokesperson said. 

Daimler had approximately 29,200 employees in North America at the end of 2024. Its other manufacturing locations include Cleveland, N.C.; High Point, N.C.; Gaffney, S.C., and Santiago Tianguistenco, Mexico.  

Strategic shift 

Parent company Daimler Truck reported a 12.5% year-over-year drop in unit sales in 2024, and an 8.4% YoY decline in the first quarter, according to its earnings materials. Unit sales dropped 4.9% YoY in Q2, driven by a 20% YoY slide in North America, according to a July 7 preliminary earnings report.  

The sales decline reflects broader challenges facing the trucking industry. Highlighting this, North American Class 8 orders fell 36% YoY in June and 45% YoY in May amid tariffs, rising new truck prices and tight lending standards, according to ACT Research. 

With low order volume expected to continue, Daimler Truck underscored various operational shifts to increase profits in its July 8 “Stronger 2030” strategy report: 

• Aggressive cost-cutting measures, including its recently launched “Cost Down Europe” program to save 1 billion euros ($1.2 billion) by 2030; 
• Expansion of its vocational truck business in North America primarily through subsidiary Western Star; 
• Increased focus and restructuring of Mercedes Benz Trucks, fully using the brand’s luxury appeal and pricing power while targeting a substantial jump in zero-emission vehicle sales in Europe; and 
• Continued tech investment and forming flexible partnerships to drive innovation for both diesel and zero-emission vehicles. 

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