Robert Besser
21 Mar 2023, 15:14 GMT+10
FRANKFURT, Germany: The German Automobilwoche magazine has reported that as part of its efforts to switch to selling electric vehicles (EV), Mercedes plans to invest billions of dollars to modernize its plants in China, Germany and Hungary over the coming years.
Depending on market conditions, it will be ready to only sell electric autos by the end of the this decade, where market conditions allow, Mercedes said.
"We are investing a three-digit million amount per plant for the run up," the company's production manager, Joerg Burzer, said, noting that these investments will be at the plants in Beijing, Rastatt in Germany and Kecskemet in Hungary, as quoted by the Associated Press.
He added that beginning in 2024, the company's Rastatt plant will produce the first model of the compact vehicle platform MMA, and the number of models produced will be cut to four from seven.
The German automaker will also modernize the painting systems at its Sindelfingen, Bremen and Rastatt plants in Germany, by making a low single-digit billion dollar investment.
The modernization aims to cut energy and water consumption, as well as the reliance of the painting system on gas, as opposed to carbon-free energy, the Automobilwoche report.
To benefit from US government subsidies under last year's Inflation Reduction Act, Mercedes could also expand its US plant in Tuscaloosa, the report added.
Mercedes is prepared to deal with further changes in the regulatory environment, Burzer noted, stating, "The framework conditions worldwide change again and again, we may have to react to that."
Get a daily dose of Europe Sun news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Europe Sun.
More InformationTOKYO, Japan: To counter the declining national birthrate, Japan's Prime Minister Fumio Kishida pledged to double spending over the next ...
WASHINGTON D.C.: Reuters has reported that on 7th June, former Vice President Mike Pence will enter the race for the ...
PYONGYANG, North Korea: North Korea attempt failed to launch a satellite on May 31, which prompted raid sirens and a ...
HONG KONG, China: Describing the lack of women in China's top leadership as concerning, the United Nations has recommended the ...
BEIJING, China: Amid its rivalry with the US for reaching new milestones in space, reflecting their competition for global influence, ...
WASHINGTON D.C.: A Transportation Security Administration (TSA) report released this week revealed that over the Memorial Day weekend, the start ...
WASHINGTON D.C.: The Pentagon said this week that the satellite communications service started by billionaire Elon Musk, SpaceX's Starlink, has ...
CHARLESTON, South Carolina: During a media tour this week at Boeing's facilities in Charleston, South Carolina, company CEO Dave Calhoun ...
MENLO PARK, California: Facebook parent company Meta Platforms has said it would remove news content in California if the state ...
BRUSSELS, Belgium: EU tech chief Margrethe Vestager has said that a draft code of conduct on artificial intelligence (AI) could ...
MOSCOW, Russia: After a turbulent 15 months of store closures and declining demand, Russian designers and brands are assisting the ...
WASHINGTON D.C.: The Federal Communications Commission (FCC) has said that more than 8.3 million US homes and businesses do not ...