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Mercedes-Benz Taps AM General to Build R-Class SUV

Alabama plant runs out of production capacity.

by on Jan.28, 2015

Mercedes-Benz is shifting R-Class production to AM General's plant in northern Indiana.

Mercedes-Benz U.S. International’s problem is AM General LLC’s gain. The German automaker is out of manufacturing space at its Tuscaloosa, Alabama, plant so it’s tapping AM General to build the R-Class Grand Tourer at its plant in northern Indiana not far from Chicago.

Mercedes-Benz said booming sales have forced it to reorganize production of its sport utility vehicles and it plans to expand production capacity in the U.S. by utilizing the AM General plant in Mishawaka, Indiana, just outside of South Bend.

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The Mishawaka plant will join the production network of Mercedes-Benz Cars, freeing up capacities at the Mercedes-Benz plant in Tuscaloosa, Alabama, which will then be used for the M-Class, the GL-Class and the new GLE Coupe due this summer. (more…)

Mercedes Seeks Help Meeting Strong Demand for New A-Class

Germans turn to Finnish maker Valmet to boost capacity.

by on Jul.24, 2012

Mercedes doesn't expect to be able to meet demand for the new A-Class on its own.

For the first time since its 1997 introduction Mercedes-Benz plans to sell its smallest model, the A-Class in the U.S. – and to help meet anticipated global demand the luxury maker is turning to a partner to help boost capacity.

Finnish specialty company Valmet Automotive has agreed to produce an extra 100,000 A-Class models between 2013 and 2016, Mercedes confirmed today, as a result of the “very positive resonance” for the all-new version of the subcompact.

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“Our new compacts are so popular with our customers that the Rastatt and Kecskemét plants are completely utilized,” explained Dr. Wolfgang Bernhard, the Mercedes board member overseeing production.  “We thus signed Valmet as an experienced production specialist who will provide us with additional A-Class capacities as of 2013.”


Mercedes Adding New Model at U.S. Plant

All new product will be fifth in Tuscaloosa.

by on Oct.21, 2011

Mercedes-Benz will add an all-new model at its Alabama assembly plant.

Daimler AG plans to spend $350 million to produce another model at it US production center in Tuscaloosa, Alabama, starting in 2015, and also plans to add jobs next year at its Western Star truck plant in Portland, Oregon.

The entirely new Mercedes-Benz model will roll off the production line as its fifth product and is expected to add some 400 additional jobs at the plant.

Tuscaloosa has been the production site of the Mercedes-Benz M-, GL-, and R-Class SUVs and is also slated to start build the Mercedes-Benz C-Class for the North American market beginning 2014.

Dieter Zetsche, Chairman of the Daimler Board of Management and Head of Mercedes-Benz Cars, said the new model coming to Tuscaloosa is part of the company’s plans to broaden its product line.

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“This new model from the Tuscaloosa plant is an important element of our growth strategy. It is one of the ten additional models which we will introduce within the next four years alone across all segments,” said the CEO, adding that, “At the same time, we are systematically broadening our manufacturing footprint in the NAFTA region.”