Nissan opened up its Aguascalientes plant last year. But it left plenty of room to expand once it locked down its joint venture with Daimler's Mercedes-Benz.
Nissan Motor Co. and Daimler AG will announce a significant expansion of their four-year-old alliance this morning, the two partners planning to set up a new plant in Aguascaliente, Mexico that will produce small luxury cars for the Japanese maker’s Infiniti brand and the German manufacturer’s Mercedes-Benz.
The project, first reported last year by TheDetroitBureau.com, takes the three-way partnership between Daimler, Nissan and French automaker Renault to a significant new level. The maker’s initially agreed to jointly produce engines and, among other things, develop a small car platform to be used for both Daimler’s Smart brand and as a replacement for the little Renault Twingo. Just this week, a new Nissan plant in Decherd, Tennessee launched production of engines for both the Infiniti and Mercedes brands.
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The new luxury car plant will be set up alongside an existing assembly line Nissan opened in the central Mexican city of Aguascalientes next year. Nissan CEO Carlos Ghosn and Daimler CEO Dieter Zetsche has previously both confirmed they were discussing the possibility of a new joint production facility but insiders say it took longer than expected to work out the details.