PepsiCo shuts long-running Cheverly plant, raising concerns for town finances and workers

PepsiCo announced the cessation of manufacturing, storage and logistics at its Cheverly, Maryland plant, a facility that had operated for over half a century and was the town's largest employer and tax source. While sales and distribution teams remain on site, the shutdown will impact roughly a hundred and forty-three workers, including long-time staff such as James McPherson, who spent more than two decades driving deliveries.

Town council member Dylan Galloway said the loss could reduce annual tax inflows by a substantial amount, forcing the city to adjust future budgets. The company attributed the decision to changing consumer spending patterns, higher fuel costs, health-related recommendations to cut sugary drinks, and the need to shift production to newer, more efficient plants. Analysts from Morningstar noted that older facilities face pressure to be replaced by external bottling partners, a model already used by competitors. The town also criticized the short notice given to employees before a meeting announcing the layoffs.