Daimler to Decide Within Months About Mexico Production

Daimler AG expects to determine by year-end whether to jointly build Mercedes small cars in Mexico with Nissan Motor Co., Frankfurter Allgemeine Zeitung reports.

Andreas Renschler, head of Mercedes-Benz Cars production, tells the newspaper the project could be attractive if the brand's compact cars are selling briskly in North America.

In July, Daimler confirmed that the company was mulling a plan to produce the next-generation Mercedes CLA compact sedan at Nissan's assembly plant in Aguascalientes, Mexico, starting in 2018. News reports had circulated for nearly two years that Mercedes and Nissan's Infiniti brand would share production of small luxury cars.

Daimler already has ventures with the Nissan and its alliance partner Renault SA to share development and production of cars, engines and drivetrains.