Mercedes US Plant’s $2B Expansion in the Works

Clarissa July 21, 2011

Mercedes-Benz’ parent company, Daimler, said that it plans on upgrading and retooling the US plant in Tuscaloosa, Alabama by investing $2 billion. This is in an effort to start production of the 2014 C-Class  and the R- and GL-Class.

This statement was made in the middle of a head-to-head battle with BMW for the number one spot in the US’ luxury car segment. This is due to a forecast that Lexus will fall off its 11 year dominance in the segment because of low production.

“Tuscaloosa was the first production location of Mercedes-Benz Cars ever outside Germany, and today it is among our best. As our ‘pioneering plant’, it is also the blueprint for our new operations in emerging markets,” said Dr. Dieter Zetsche, Chairman of the Daimler Board of Management and Head of Mercedes-Benz Cars,  explaining the reason behind the expansion plans.

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