Daimler Trucks North America announced Friday that it will build a new $40 million electric vehicle engineering facility at its Swan Island headquarters, choosing Portland over two other locations it was considering. The company also announced the construction of a new $3 million training facility in Portland.
Daimler has not said how many people it will employ at the plant, but when it briefed the Portland City Council last summer about the project, it said the project would create 150 “high-wage” jobs. It was suggested that it be added.
At the time, Daimler was choosing between Portland and two unspecified projects to locate the project. The company had sought an exemption that would allow it to receive a tax break without meeting regular employment requirements, which the city council granted, and also added that the city of Portland has acknowledged concerns about the homeless encampment near its Swan Island office and the safety of its employees. ensured that the threats faced are addressed.
Daimler Trucks already employs about 3,000 people in the Portland area. The German company traces its Oregon roots to Consolidated Freightways, which began manufacturing trucks in Portland in the 1940s. Daimler acquired the company's Freightliner trucking business in 1981 and has been manufacturing heavy-duty trucks there ever since.
Daimler said the 110,000 square foot engineering facility will bring together multiple research projects in one location, including battery electric vehicles and hydrogen-powered vehicles. He received a $700,000 state grant for the project, which he said must be paid back if the project fails to meet certain economic goals.
The City of Portland also committed to Daimler to complete 10,000 hours of on-site training, bring two industry events to Portland, and host 12 school and non-profit tours and classes. As a condition, it awarded a $1.5 million grant for a training facility.
Daimler did not say why it chose Portland over other sites it was considering. However, Daimler Trucks North America CEO John O'Leary issued a statement thanking the city and state for their support.
Portland leaders also welcomed the news.
“DTNA is a major employer in our city, and today's announcement is a proud moment for everyone involved,” Portland City Commissioner Carmen Rubio said in a statement.
— Mike Rogoway covers Oregon technology and the state's economy. Please contact us at mrogoway@oregonian.com.
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