Mercedes-Benz C-Class to be manufactured in the United States

Article by Christian A., on August 27, 2010

In pursuit of significant cost reduction, Daimler AG is considering moving some of its production of the Mercedes-Benz C-Class from Germany to the United States, according to Germany newspaper, the Stuttgarter Zeitung.

Most likely, the transfer would be made to its plant in Vance, Alabama, as part of a wider production shake-up to reduce costs.

Currently, the production of the Mercedes-Benz C-Class is done in Sindelfingen, near Stuttgart. The report further said that in the future, the C-Class sedan would be built in three locations: Bremen, Germany; Vance, Alabama, and China.

The potential savings are huge. If the Vance facility builds 80,000 C-Class cars annually, it would save Mercedes about 64 million euros (or $95 million).

First of all, the average hourly wage at the U.S. factory is about 30 euros compared with 50 euros in Germany. The move would also allow Daimler to avoid swings in the value of the U.S. dollar against the euro, and save import duties and freight costs.

The Vance plant is ideal for the move because while it already builds the M-, GL- and R-Class models, it still has spare capacity.

In the first eight months of the year, the plant built 66,710 units, down from 136,138 the year before. The C-Class is Mercedes' top-selling car in the United States. It sold 34,432 units in the first eight months, down from 50,593 the year before.

If you liked the article, share on:

Comments

Recommended

Kia is taking things a step further with the new Kia Stinger, which they first introduced at the 2017 Detroit Auto Show. With the specs given to us by the...
by - June 25, 2017
Earlier this week, Nissan revealed a teaser of the new 2018 LEAF’s interior, giving us an idea of what the electric vehicle has to offer. The company released a video...
by - June 25, 2017
The primary suggestion of a 4x4 ute from French company Peugeot was first revealed in 2016. Fifteen months later, the production version is launched. Now, Peugeot is not shying away...
by - June 24, 2017
The new Jaguar E-Pace crossover will soon hold its official launch on July 13 and is expected to arrive at the showrooms by early next year. It couldn’t have come...
by - June 24, 2017
As prices of the original Shelby Cobra have skyrocketed into astronomical proportions, there are firms like Superformance that serve replicas to consumers who demand the same levels of performance at...
by - June 24, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries