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Fluctuations and disparities in currency exchange rates have grown to become a significant factor in determining where foreign automakers in particular assemble their vehicles. Mercedes-Benz is among those carmakers most cognizant of these effects, and it has been assembling select models in the United States to meet local demands. Now the German automaker has announced that, for the next generation of its popular C-Class sedan due in 2014, partial production will shift to its assembly plant in Tuscaloosa, Alabama, where the M-Class, R-Class and GL-Class crossovers are already built.

The shift in production - which is set to comprise no more than one-fifth of global C-Class production - will not only help offset currency rates, but also afford greater flexibility in meeting local customer demand. The move is expected to further upset Germany's automotive workforce, which has grown restless in the wake of General Motors' collapsed sale of Opel.

In addition to the partial shift to Alabama, German production of the remaining four-fifths of C-Class production is set to switch places with the SL-Class roadster, the former moving from Sindelfingen to Bremen and the latter vice-versa. Full details in the press release after the jump.

[Source: Mercedes-Benz]

Continue reading Confirmed: Mercedes to shift some production of next-gen C-Class to Alabama

Confirmed: Mercedes to shift some production of next-gen C-Class to Alabama originally appeared on Autoblog on Thu, 03 Dec 2009 08:29:00 EST. Please see our terms for use of feeds.

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Mercedes-Benz C-Class - click above for high-res image gallery

The C-Class is Mercedes-Benz's biggest seller Stateside, and a report in a Stuttgart newspaper indicates the company could be looking to stabilize the revenue from its bread-and-butter sedan. The C-Class is currently produced in Sindelfingen, Germany, and that makes it prey to currency swings on the trip across the pond. If Mercedes transferred production to its plant in Vance, Alabama, the company would also pay lower labor costs than it does in Europe.

The Alabama plant currently makes the M, GL, and R-Class vehicles. In March of this year, Mercedes allotted $290 million to expand the facility but didn't name any vehicle that would be added there, only saying it would be "future product." The German report mentioned that Mercedes could move some SL production from Bremen to Sindelfingen to make up for the shift, but a Mercedes spokesman said there is nothing in the works and nothing to comment on at the moment.

A German labor representative said that if such a move were to come, he would expect Mercedes to have a plan to save the 3,000 jobs that would be jeopardized at Sindelfingen, and protect production at Bremen as well. If Mercedes does move the C-Class here, it would become the first of the German players to build its highest volume car in the States.


Gallery: Mercedes-Benz C-Class


[Source: WGAL]


Mercedes-Benz pondering C-Class production in Alabama? originally appeared on Autoblog on Sun, 27 Sep 2009 16:06:00 EST. Please see our terms for use of feeds.

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A master mechanic and two clerks, among others, are being investigated for intentionally sabotaging Mercedes cars being built at the Sindelfingen factory. Allegedly, repair shops in the area that weren't part of the Daimler corporation were bribing workers with gifts, trips, and cash to alter the cars so that the repair shops could get the contracts to fix them.

The sabotage included scratching the cars, loosening clamps and bolts, as well as -- incredibly -- putting foreign liquids into brake lines. According to Suddeutsche Zeitung, the cars affected were C-, E-, and S-Class. The Stuttgart prosecutor's office estimates the costs to Mercedes in the many of millions, but the greatest irony is this: the workers under investigation were part of the quality control department.

[Source: Suddeutsche Zeitung via Benz Insider]

What's German for "kickback"? Daimler workers broke Mercedes' for profit originally appeared on Autoblog on Mon, 17 Nov 2008 16:28:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>daimlerdaimler agDaimlerAgmanufacturingmercedesmercedes-benzplantsquality controlQualityControlsabotagesindelfingensindelfingen factorySindelfingenFactorystuttgartMon, 17 Nov 2008 16:28:00 EST