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Daimler AG: Mercedes Benz, Meet Alabama

Wed, 12/02/2009 - 3:21am
George Frey, AP Business Writer

December 2, 2009

FRANKFURT (AP) — German carmaker Daimler AG said Wednesday it will move some of its Mercedes Benz C-Class car production to its Tuscaloosa, Ala., plant to take advantage of a growing market, lower production costs and to avoid currency fluctuations.

Daimler said production of the new generation of the C-Class should start there in 2014.

The company says moving production will maintain its competitiveness, utilize growth opportunities, and let it respond to markets faster and with more flexibility. It said the move would protect jobs in Germany over the long term.

Further investments will be made at the Tuscaloosa plant, though Daimler didn't provide details. It said besides the C-Class, the Tuscaloosa plant will continue to produce the R-, M- and GL-Class vehicles.

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