Daimler Truck North America plans to build its largest U.S. truck assembly plant yet, a new manufacturing facility the company says will help it meet future demand while incorporating the latest production technologies.

The company has not selected a site for the plant, which is expected to begin operations in 2029. Construction is slated to begin in late 2026.

The company said it is evaluating multiple locations for the new plant, considering factors such as workforce availability, supply chain access, transportation infrastructure and the business climate.

The facility will build both on-highway and vocational trucks and is intended to add production capacity while giving the company greater flexibility to respond to changing market demand.

Modern Digital Manufacturing Technology

Unlike many of DTNA's existing factories, which were built decades ago, the new plant will be designed from the ground up around modern manufacturing technologies and flexible assembly systems. Company officials say that will make it easier to build a wide variety of truck configurations while improving efficiency and quality.

"Our industry never stands still, and neither can we," DTNA President and CEO John O'Leary said in announcing the project. "We are building for the future by creating a manufacturing network that is more flexible, resilient, and aligned with our customers' evolving needs."

The announcement came just one week after DTNA notified Oregon officials that it will permanently close its Portland Truck Manufacturing plant at the end of October, eliminating nearly 400 jobs. Freightliner opened its first manufacturing facility in Portland in 1947.

It's not the first time the company has looked at closing the Portland plant. Previously it had planned to close the plant in 2010, but a large military order kept it operating, the company said at the time.

Demand Rebounds After Slow Start

The investment also marks a shift from the cautious tone Daimler Truck executives struck earlier this year.

During the company's first-quarter earnings call in May, executives described a historically weak truck market. DTNA's truck sales were down 26% from a year earlier, and first-quarter sales were the company's lowest for the period since 2010.

At the time, Daimler Truck also said it was delaying plans to build manufacturing capacity for Amplify Cell Technologies, its battery cell joint venture with Paccar and Accelera by Cummins.

Since then, however, the North American truck market has strengthened considerably. Fleet orders have rebounded, and DTNA says its 2026 order book is already about 95% full.

DTNA currently operates manufacturing facilities in North Carolina and South Carolina, while maintaining its headquarters, engineering operations and a recently opened testing facility in Portland. The company said it will announce the location of the new plant after a final site has been selected.