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Funding to support five-year project to transition Volvo Mack Trucks plants to zero-emissions vehicle manufacturing facilities

Funding comes from Domestic Manufacturing Conversion grant, made possible by the Inflation Reduction Act

Volvo Mack Trucks’ zero-emissions vehicle transition project is supported by United Auto Workers

Washington, D.C. – Today, U.S. Senator Bob Casey (D-PA) delivered $208 million from the Inflation Reduction Act (IRA) to support Volvo Mack Trucks’ zero-emissions vehicle manufacturing, including at the Lehigh Valley Operations facility in Macungie, PA. This funding will support Volvo Mack Trucks’ five-year plan to transition its plants and employees to new, clean energy vehicle technologies. The funding will also create 295 new union jobs.

“Pennsylvania manufacturing has always formed the backbone of our Nation. This funding will boost Volvo Mack Trucks’ Lehigh Valley production, create good-paying, union jobs, and pave the way for our clean energy future,” said Senator Casey. “I fought to bring clean energy investments to Pennsylvania, and I will keep fighting to make sure we keep these investments coming.”

The funding comes from the Domestic Manufacturing Conversion (DMC) grant program made possible by the Inflation Reduction Act (IRA) to support domestic production of zero-emissions vehicles (ZEVs). Senator Casey urged the U.S. Departments of Energy and Treasury to support Volvo Mack Trucks’ goal to be 100 percent fossil fuel free by 2040. The funding from the DMC grant will support the investment necessary to transition Volvo Mack Trucks facilities to ZEV manufacturing plants and will create 295 new union jobs.

Thanks to Senator Casey’s advocacy for funding from the DOE, Volvo Mack Trucks can move towards mixed model assembly, which will allow for the scalability and flexibility required to meet market demands for ZEVs. The project is supported by local United Auto Workers (UAW) and will help sustain the 7,900 union jobs at the manufacturing facilities in addition to the new jobs created.

Senator Casey has long supported Volvo Mack Trucks’ electric vehicle production initiatives. In February 2024, Senator Casey urged the U.S. Department of the Treasury and the DOE to grant Volvo Mack Trucks eligibility for clean vehicle manufacturing tax credits outlined in the IRA. In August 2022, Senator Casey visited the Lehigh Valley Operations facility to highlight how the IRA and the CHIPS and Science Act support emissions reductions, domestic manufacturing, and Pennsylvania jobs. In July, 2021 Senator Casey pushed the DOE to include Volvo Mack Trucks in the DOE’s SuperTruck III program, citing Volvo’s leadership in the ZEV manufacturing sector.

Senator Casey fought to pass the Inflation Reduction Act, which included tax credits for individuals and companies manufacturing or deploying clean energy technologies to help lower costs and secure our energy independence. The IRA passed with a Casey-led provision to provide a “domestic content” bonus credit for companies that use American steel, iron, and manufactured goods. 

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