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UAW 'extremely disappointed' with Volvo's Mexico plant decision


kscarbel2

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Reuters  /  April 12, 2024

The United Auto Workers (UAW) said on Friday it is "extremely disappointed" with truck maker Volvo Group's decision to set up a new truck plant in Mexico, which the company said would help supplement its U.S. production.

The union, in a letter published on Thursday, said it is looking into the contractual obligations for truck build rates at the Lehigh Valley Operations (LVO) plant and the potential legal ramifications from Volvo's Mexico decision.

Volvo announced the new plant on Thursday and added that it would be investing an additional $80 million for future production at the LVO plant, having invested $73 million over the last five years.

"This is a slap in the face for all of us," said UAW Local 677 shop chair Tim Hertzog, adding that the company informed the union about the plans 15 minutes before the announcement.

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Macks new highway model should be coming out sometime next year. I'm guessing it will be sharing cab shells with the new Volvo highway model. Just in time for the new plant in 2026.

Makes sense to.send them down the same production line in Mexico while allowing LVO to increase building both regional and Vocational lines at Macungie. 

Volvo/Macks competition have been building highway products for years in Mexico. Can't beat'em, join'em I guess.

Edited by bbigrig
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On 4/13/2024 at 7:55 AM, bbigrig said:

Macks new highway model should be coming out sometime next year. I'm guessing it will be sharing cab shells with the new Volvo highway model. Just in time for the new plant in 2026.

Makes sense to.send them down the same production line in Mexico while allowing LVO to increase building both regional and Vocational lines at Macungie. 

Volvo/Macks competition have been building highway products for years in Mexico. Can't beat'em, join'em I guess.

No guessing. It "is" the new Volvo highway model.

"Can't beat'em, join'em I guess".....what does that mean?

Mexico is a cesspool of corruption, crime and killing. One can not build a quality car or truck there. Note the Freightliners and Ford Mavericks produced there, examples of horrendous quality. Scania will not produce in Mexico......in Brazil they can produce a quality product, alike national jewel Embraer.

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3 hours ago, kscarbel2 said:

No guessing. It "is" the new Volvo highway model.

"Can't beat'em, join'em I guess".....what does that mean?

Mexico is a cesspool of corruption, crime and killing. One can not build a quality car or truck there. Note the Freightliners and Ford Mavericks produced there, examples of horrendous quality. Scania will not produce in Mexico......in Brazil they can produce a quality product, alike national jewel Embraer.

Kevin

I thought the Ford plant at Hermosillio (sp?) had a rep for very good build quality??   But in any case I've always wondered about the wisdom of investing huge sums in Mexico given instability in parts of the country..what keeps it from spreading?  Think the cartels are going to concentrate on the poor areas-or go where the money is???

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12 minutes ago, Red Horse said:

Kevin

I thought the Ford plant at Hermosillio (sp?) had a rep for very good build quality??   But in any case I've always wondered about the wisdom of investing huge sums in Mexico given instability in parts of the country..what keeps it from spreading?  Think the cartels are going to concentrate on the poor areas-or go where the money is???

 

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On 4/12/2024 at 9:53 PM, kscarbel2 said:

The union, in a letter published on Thursday, said it is looking into the contractual obligations for truck build rates at the Lehigh Valley Operations (LVO) plant and the potential legal ramifications from Volvo's Mexico decision.

What a ridiculous statement. Does the Union honestly think Volvo didn't check into this before deciding to invest hundreds of millions into increased capacity in Mexico manufacturing? In the same announcement Volvo announced an $80 million investment into Lehigh Valley Assembly. They didn't announce any layoffs at Lehigh Valley. What does the UAW want? You could hand a union man a free $100 bill and he would bitch because you folded it wrong.

On 4/12/2024 at 10:44 PM, BOBWhite said:

Just goes to show they never cared about the workers here in America, or anywhere else for that matter. 

I don't think it has anything to do with caring about workers more so than trying to operate as profitably as possible under the current laws, economics, and circumstances. Why wouldn't a company like Volvo increase manufacturing in Mexico? NAFTA basically incentivizes companies to use cheap, Mexican labor tariff free. I love watching videos of the 1992 Presidential debates. Every single thing Ross Perot said came true. The man was a literal genius. My guess is better than 80% of UAW membership voted for Bill Clinton. Reap what you sow. 

Are Mexican assembled vehicles of lower quality than USA/Sweden assembled? Maybe, maybe not? Doesn't matter. The industry and society as a whole have accepted lower quality products a long time ago. Everyone complains about cheaply designed and assembled products made from junk materials but the vast majority of people will buy the cheap junk many times over. No manufacturer is making anything as quality and reliable as a 1973 R model. In this day and age it would be wise for a manufacturer to build something as cheaply and easily as possible with just enough durability to get it through any warranty period. 

Edited by 67RModel
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Yeah I guess it makes sense, Volvo's probably paying more to manufacture here than than they are in there own country. The late 90s and early 00s Volvos had really great interior build quality for that time (everything else not so much). I don't know what they're like now but I'm sure they'll go down in quality like everything else that shifted production to Mexico. The global trend is building crap and we are all buying it

I wish we could have someone like Ross Perot running today, although who knows what they'd indite him with for trying.

 

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On 4/15/2024 at 7:53 PM, BOBWhite said:

I wish we could have someone like Ross Perot running today, although who knows what they'd indite him with for trying.

One thing Ross said and l've never forgotten, "Lets raise the hood and take a look inside"  lol     .....Hippy

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Well, I don’t know where they’re building our new Kenworth and Peterbilt but both makes our junk last go around. I drive a brand new Peterbilt and there is always something wrong with it. The Kenworth are even worse. They’re in the shop all the time for warranty work my Peterbilt is only eight months old and it’s already been at the dealer twice for air conditioning issues now there’s something wrong with the steering box .and the fifth wheel slider doesn’t operate properly release the jaws then I have to bang the ram back in with a hammer. bob

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Oh, I forgot to mention Straight from the dealer first trip down the road. The front end was pulling to the right for chrissake. Isn’t anybody checking this shit??? Bob

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They can check all they want Bob, when they have only a small idea what they're looking at there's not much chance to get it fixed.  Now if it was some mindless thing on tick tok or something you needed fixed.... you'd be all set. But hey !!!!  they showed up that day 🤣

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4 hours ago, james j neiweem said:

Hopefully the new Mack coming will have room enough for big bore engines and cooling systems!

Safe bet you'll never see a big bore engine in a Mack ever again.

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Just sittin here thinkin'  To me...  the need for big power in big rigs is a common topic.  trucks were... well...  trucks...  not supposed to be racecars, but to get products to the wharehouse and the stores and so-on.. our world moves and drives much faster than ever and I expect it to get faster..  My issues are only a few.  the government controls something that they have never done,,, Truckers want to be the fastest truck going uphill at 79,000 lbs.  and then tree huggers who dont know a damn thing about trucking, want to control the exhaust from the trucks...  these 3 things are what has screwed up   ''Driving a Big Rig''  just my simple minded opinion..   Jojo..  

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Why would Mack or Volvo ever put a big engine in a truck again ?  The MP10 or D16 did miserably as far as sales went. Most vocational trucks don't need them and most VNLs ???  the guy with the ear buds and crocks.... he couldn't care less.  Then factor in the handful of guys that think they need a 600, and have no idea how to actually use something like that, He'll be back crying for warranty on stuff that isn't covered.  Caterpillar saw it coming, now  Volvo does too.

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I figure it this way I drove a 2006 Coronado with a Series 60 Detroit 14.0L 515HP factory with a 10spd Eaton and 3:73 gears. Not governed etc no Def or Any of that Regen stuff etc. Whether fully loaded or empty avg MPG was 7-8. Also drove a 1995 Peterbilt with a 3406E cat and it got 6-7MPG same whether loaded or empty and it was probably 425-500HP maybe with a 10spd. Do I want a truck with 700-1,000 HP For OTR Nope I sure don't but having 500-600 HP and from learning how to use it correctly Yes Sir!!! It's funny how Aerosol Hair spray and paint etc are Still sold and at one time were quoted as being harmful to the Ozone 😆 😂  But OH NO THAT TRUCK CAN'T SMOKE AT ALL I MEAN " HOW DARE YOU!!!!!" It's all a joke to me anymore. 

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The sad point is that you can get big bore engines in IH (Traton VW), Freightliner (Daimler), Western Star (Daimler), KW (Paccar), Peterbilt (Paccar), and Volvo.

The only hold out (Black sheep) is Mack putting it at a disadvantage in several markets. Maybe something akin to the Mack modification center could address this or an after market provider. All it takes is some hood cowl and bracket modifications. Cummins provides the proper truck manufacturer bracketry for all their engines in the different makes and models. Mack should also make available the x-13. No long hood needed there. However the M drive might be a problem. I wonder if Cummins in Volvos can use I shift.

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On 4/20/2024 at 8:29 AM, Mark T said:

They can check all they want Bob, when they have only a small idea what they're looking at there's not much chance to get it fixed.  Now if it was some mindless thing on tick tok or something you needed fixed.... you'd be all set. But hey !!!!  they showed up that day 🤣

Man, this is ridiculous latest issue the air shield, rattles, and buzzes almost entire trip both ways. It’s so friggin loud. I have to turn the radio all the way up to drowned out the racket frankly, bud it’s a pile of shit I was talking to A dirt driver couple weeks ago that was driving an auto car. He said his boss was going to all.auto cars from 379 Peterbilt there nothing but junk and you have to wait a long time to get them because of back order. They said that I had had enough and they were just going to all autocars and they’re having very little issues with them.

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On 4/21/2024 at 10:25 AM, james j neiweem said:

The sad point is that you can get big bore engines in IH (Traton VW), Freightliner (Daimler), Western Star (Daimler), KW (Paccar), Peterbilt (Paccar), and Volvo.

The only hold out (Black sheep) is Mack putting it at a disadvantage in several markets. Maybe something akin to the Mack modification center could address this or an after market provider. All it takes is some hood cowl and bracket modifications. Cummins provides the proper truck manufacturer bracketry for all their engines in the different makes and models. Mack should also make available the x-13. No long hood needed there. However the M drive might be a problem. I wonder if Cummins in Volvos can use I shift.

Volvo just came out with a 17.3 L inline 6 for Europe and Australian markets . 780hp Itll be in the New macks in australia im sure not in north america though.

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