Nissan, Daimler Begin Joint Engine Production in Tennessee

Nissan Motor Co. and Daimler AG have begun building a family of 2.0-liter turbocharged 4-cylinder engines for Infiniti and Mercedes-Benz luxury cars at their new joint-venture factory in Decherd, Tenn.

The $319 million plant, which is co-owned by the two companies, is designed to make six variants of the engine at a combined annual volume as great as 250,000 units.

The first of the powerplants will debut in the Japan-produced Infiniti Q50 sedan and the C-Class Mercedes sedan assembled in Alabama. The engines were designed by Daimler, which also supplies major components to the Decherd facility from Germany.