August 6, 2008 / 9:19 AM / in 9 years

Daimler U.S. truck plant rehires, Canada jobs go

STUTTGART (Reuters) - Daimler AG will rehire 650 staff at a U.S. truck plant from next month given unexpectedly strong demand for its Cascadia model, the world’s biggest truckmaker said on Wednesday.

Daimler had eliminated a shift and laid off 1,500 workers at the Cleveland plant early this year amid a market downturn for heavy trucks in North America.

The Cascadia heavy truck was launched last year and has sold well in North America and in export markets such as South Africa, Australia and New Zealand, the company said.

Daimler has said it sees no signs of an overall rebound in the North American market, which has been depressed by an economic slowdown.

It plans to cut around 700 jobs and eliminate a shift at its Canadian trucks plant in St Thomas, which builds Sterling brand vehicles.

Reporting by Hendrik Sackmann; Writing by Michael Shields; Editing by Paul Bolding

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