Quebec layoffs at U.S. truck plant days before tariff spur calls for urgent action

Paccar's commercial truck plant in Sainte-Thérèse, Que., now employs about 500 of its more than 1,000 workers, according to Unifor.

The American truck maker is laying off 300 workers at its plant in Sainte-Thérèse, Quebec, just days earlier.

US tariffs

on heavy vehicles come into force.

In October, US President Donald Trump

signed a decree

It imposes 25 percent tariffs on medium- and heavy-duty trucks starting November 1.

Unifor, which represents workers at the Paccar Inc. plant. in Quebec,

called for urgent action

and repeated his calls for a national industrial strategy that would prioritize supporting domestic manufacturing businesses.

It said Paccar had already carried out two rounds of layoffs at the plant: in December 2024 and in July this year.

According to Unifor Quebec director Daniel Cloutier, the plant currently employs about 500 people out of more than 1,000. (Full disclosure: The finance post is also part of Unifor's structure).

That means that instead of producing 96 trucks a day, the plant would only be able to produce 18. Its fixed costs would be spread over fewer products, reducing the plant's efficiency, he said.

Cloutier said the drop would also affect many local component supply companies that relied on the plant for their operations.

“It will have a ripple effect,” he said. “It’s nonsense that we can’t include a ‘buy Canadian’ rule in our laws.”

Unifor national president Lana Payne said Trump's looming tariffs are a “cruel blow” to the already struggling company.

“This is yet another example of why Canada needs a true national industrial strategy that includes Made in Canada procurement to protect our jobs, our communities and our future,” she

stated in the release

.

Payne called on the Quebec government to “issue a clear directive” requiring its departments to purchase trucks made in Quebec.

The calls for action come amid a growing trend in which workers in manufacturing industries, from steel to autos, are pushing government agencies to develop policies that require purchasing from domestic plants whenever possible.

In September

Prime Minister Mark Carney

announced a “Buy Canadian” strategy, and other provincial leaders made similar commitments, with mixed results.

In October, steelworkers in Windsor, Ont., staged a protest on the side of a highway after discovering that a provincial overpass was using foreign-made steel beams.

Unifor Quebec director Daniel Cloutier called Paccar's layoffs a wake-up call.

“The Quebec government has direct leverage through public procurement,” he said. “She must lead by example and demand that all levels of government in Canada do the same.”

A Paccar representative was not available at the time of publication.

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