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

The Chevrolet Corvette will be turning 65 years old in 2018, and as part of the celebrations, the brand is introducing a special edition C7 – the Chevrolet Corvette Carbon...
by - November 19, 2017
Tesla revealed that with its new Semi, truck drivers can expect better experience especially with heightened safety and the lower cost of transporting cargo. Indeed, the cabin of the new...
by - November 19, 2017
November 17 is considered a very special day for Tesla, as this is the day that they revealed the highly anticipated Tesla Semi. But Elon Musk did not think the...
by - November 17, 2017
More details have emerged about the new sixth generation of the BMW M3 just as the German premium practically announced the end of the current-gen 3 Series with the unveiling...
by - November 17, 2017
All is set for Volkswagen’s plans to enter the electric vehicle game, as prompted by the so-called Dieselgate scandal. In fact, the German carmaker has already made a commitment to...
by - November 17, 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