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Mercedes

Mercedes is looking to expand production in North America

Mercedes is reporting possible expansion and more jobs to its North American plants.

Daimler is looking to add production capacity in North America for both its compact and rear-wheel-drive models, CEO Dieter Zetsche said.

Plans are in the “very early” stages for the rear-wheel-drive vehicles and “it is totally open,” Zetsche said on Tuesday on the sidelines of the Geneva auto show here.

He would not say whether Mercedes-Benz is looking to expand its factory in Vance, Alabama, or build a new plant. Mercedes just began production of the redesigned rwd C-class sedan in Alabama, primarily for the U.S. market.

Alabama builds the all-wheel-drive M- and GL-class crossovers and will add a M-class coupe crossover next year.

To cope with the shortage of front-wheel-drive cars, Mercedes is adding shifts and outsourcing some production to contract manufacturer Valmet in Finland. There are already shortages of the CLA sedan in the United States that aren’t likely to be remedied until early summer.

Read the full article here.

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