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Daimler Will Build Small Cars in Brazil
Daimler AG has confirmed plans to erect a new assembly plant in Brazil to make Mercedes-Benz compact cars for the local market, according to Stuttgarter Zeitung.
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Daimler AG has confirmed plans to erect a new assembly plant in Brazil to make Mercedes-Benz compact cars for the local market, according to Stuttgarter Zeitung.
CEO Dieter Zetsche tells the newspaper that Daimler will choose a factory site this year. He did not specify when the facility would open or which model or models would be produced there.
German magazine Der Spiegel reported last month that the company would open a plant in Brazil in 2015 with annual capacity to build 20,000 Mercedes C-Class compact cars.
Zetsche says it would not be profitable to import small cars to Brazil, which charges tariffs of as much as 55% on foreign-made vehicles.
Daimler hasn't made passenger cars in the country since it ended production of A-Class small cars there in 2010. The company currently makes commercial vehicles at two factories in Brazil.
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