Volvo Mexico Plant: Disappointment Expressed by UAW

The United Auto Workers (UAW) has voiced its intense disappointment with Volvo Group’s recent announcement to establish a new truck plant in Mexico. 

While Volvo cited the move as a means to complement its U.S. production, the union has expressed concerns and is exploring its options regarding contractual obligations and potential legal implications.

UAW Response on Volvo Mexico Plant:

In a letter released on Thursday, the UAW conveyed its dismay over Volvo’s decision. It indicated its intent to investigate the contractual obligations related to truck build rates at the Lehigh Valley Operations (LVO) plant. The union also raised concerns about the potential repercussions of Volvo’s move to Mexico.

Tim Hertzog, shop chair of UAW Local 677, described Volvo’s decision as “a slap in the face for all of us.” He highlighted the lack of prior consultation, with the company informing the union 15 minutes before the official announcement.

Volvo Announcement and Response:

Volvo’s announcement of the new plant in Mexico coincided with its commitment to invest an additional $80 million in future production at the LVO plant. 

Despite investing $73 million in the LVO plant over the past five years, Volvo’s decision to expand operations outside the U.S. has drawn criticism from the UAW.

As of Friday, Volvo had not commented on the UAW’s expression of disappointment.