Daimler Could Add a Second Car Model at U.S. Factory

Chief Financial Officer Bodo Uebber says Daimler AG might expand operations at its SUV factory in the U.S. to include more models.

The factory will begin making C-Class sedans next year. But Uebber tells reporters in New York City that other cars could "theoretically" be added there. He adds that Daimler has made no decision to do so.

Daimler is setting up local production of C-Class sedans in America to reduce transportation and labor costs and avoid unfavorable currency fluctuations. Bloomberg News notes that the same factors would apply for additional models there.

Separately, Uebber says Daimler is growing more optimistic about electric vehicles. He declares that the company should expand its ties with EV maker Tesla Motors Inc., in which Daimler holds a 4.3% stake. Tesla supplies Daimler with batteries for the electric versions of the Smart ForTwo city car and Mercedes-Benz A-Class small sedan.