U.S.-based truck maker Paccar Inc. has laid off 300 workers at its Sainte-Thérèse, Que., plant, just weeks before a 25 per cent U.S. import tariff on commercial trucks is set to take effect on Nov. 1.
The manufacturing plant builds Kenworth and Peterbilt trucks and depends heavily on exports to the U.S.
In a statement, the union said it is calling for urgent government intervention.
“These workers are the latest victims of the trade war being waged against us by the United States,” said Unifor Québec director Daniel Cloutier. He said the union will do everything in its power to support its members who are severely impacted by this announcement.
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He added that “this situation is a wake-up call,” warning that the tariffs could cost the plant its American customers. “If the Sainte-Thérèse plant loses its U.S. sales, we must do everything possible to fill the gap with local buyers.”
The union’s statement said the layoffs highlight the vulnerability of Québec’s manufacturing sector and the need for immediate action to protect local jobs.
Quebec’s Economy Minister, Christine Fréchette, said Paccar executives expressed interest in developing new products aimed at the Canadian market.
The province’s Finance Minister, Eric Girard, said he does not view the latest cuts as a fatal blow to the plant.
“There are still 1,000 employees. This isn’t the end. There’s real expertise and capacity there,” he said.
The factory will likely find itself in competition with other plants owned by Paccar, which can shift production to its facilities in the U.S.
In a conference call with analysts this week, chief executive Preston Feight called the sectoral tariffs “a good thing for Paccar’s customers,” pointing to its plants on American soil that could prove an advantage against competitors.
“It’s going to be good because we manufacture trucks in Texas, Ohio and Washington state,” he said.
“It will improve our competitive position as we approach next year.”
The Sainte-Thérèse plant has now seen a total of 725 layoffs this year, including 425 earlier in 2025.
–with files from The Canadian Press
