Daimler Truck North America to Close Historic Swan Island Plant

Daimler Truck to Close Historic Portland Manufacturing Plant

Daimler Truck North America has notified the state of Oregon that it will permanently close its historic Swan Island manufacturing plant in Portland on October 30. The closure will end 84 years of local truck assembly and eliminate approximately 375 to 387 jobs. The facility currently produces Freightliner eCascadia and eM2 electric trucks alongside Western Star trucks. While manufacturing operations will end, Daimler Truck will retain its corporate headquarters, test tracks and newly opened USD 40 million engineering operations hub on Swan Island.

Production to Shift Across Other Manufacturing Locations

The closure covers the truck manufacturing facility at 6936 N. Fathom St. and the nearby post-production operation at 5400 N. Basin St., which customizes trucks according to customer requirements. Production from the Portland operation will be transferred to other manufacturing locations, including facilities in North Carolina and South Carolina. Daimler Truck already performs final assembly of Freightliner trucks at plants in Cleveland and Mount Holly, North Carolina, while the Cleveland facility also assembles Western Star trucks. The company additionally operates manufacturing plants in Mexico.

Lower Production Volumes Preceded Plant Closure

The decision follows a significant decline in production volumes at the Swan Island facility. A representative of Machinists Local 1005 said the plant had been producing approximately 13 trucks per day, compared with around 24 trucks per day several years earlier. Most recent orders were reportedly for Western Star trucks, although the facility continued assembling electric vehicles. The production decline highlights the changing manufacturing requirements facing the Portland operation as truck volumes and production allocations shift across Daimler Truck’s broader North American manufacturing network.

Manufacturing Footprint Includes Conventional and Electric Trucks

The Swan Island closure will affect production of both conventional and electric commercial vehicles, including the Freightliner eCascadia and eM2. Daimler Truck’s remaining manufacturing footprint provides alternative locations for vehicle assembly and related production activities. In addition to its facilities in North Carolina, the company has plants in Mexico at Saltillo and Santiago. Gaffney, North Carolina, and Gastonia, South Carolina, produce custom chassis as well as cab and chassis components, supporting the company’s wider production network for commercial vehicles.

Frequently Asked Questions

Why is Daimler Truck North America closing the Swan Island plant?
The Swan Island closure follows declining production volumes and a shift in truck manufacturing across other facilities. Production had reportedly fallen to about 13 trucks per day from approximately 24 trucks per day several years earlier. The closure will eliminate an estimated 375 to 387 jobs and end 84 years of truck assembly in Portland. Freightliner eCascadia, eM2 and Western Star production will move to other manufacturing locations, while Daimler Truck will retain its headquarters, test tracks and engineering operations hub on Swan Island.