Mercedes-Benz plant to produce electric vehicles, - WBRC FOX6 News - Birmingham, AL

Mercedes-Benz plant to produce electric vehicles, - WBRC FOX6 News - Birmingham, AL

Mercedes-Benz plant to produce electric vehicles, - WBRC FOX6 News - Birmingham, AL

Daimler AG plans to spend $1 billion to start production of Mercedes-Benz electric vehicles at its Alabama factory, setting the world's largest luxury-car maker up to battle with battery-car specialist Tesla Inc. on its home turf. Daimler executives have previously stated the company is willing to build electric vehicles at any assembly plant housed within a local market to justify it.

The move by Mercedes-Benz follows other automakers who have moved production of SUVs and crossovers to the US, specifically facilities located in the South. BMW recently announced it would add 1,000 jobs to its plant in Spartanburg, South Carolina, which builds SUVs including the BMW X3, X4, X5, and X6.

"EQ meets Bama", Schafer said. As part of the 2015 expansion, the plant is being prepared to produce modern plug-in hybrids.

At the Mercedes-Benz U.S. worldwide facility in Tuscaloosa, workers assemble the GLS, GLE and GLE Coupe SUVs for the global market as well as the C-Class sedan for North America. Once expansion announced today is complete, the figure will stand at $6.8 billion.

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The $1 billion deal will create about 600 new jobs, according to Alabama Governor Kay Ivey.

"Mercedes-Benz has been a powerful catalyst for growth in Alabama for two decades."

Daimler also plans to build a one million square-foot battery plant next to its Tuscaloosa, Ala. -based factory.

A new Global Logistics Center is the third prong of the investment, providing Mercedes with stronger supply chain management and after-sales support, including the export of car-kits to overseas assembly plants.

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A Daimler spokesperson stated on Thursday the company prepared an official announcement about its plans later in the day. In 2016, the plant produced more than 310,000 vehicles.

Daimler AG doesn't just plan to sell electric vehicles to US consumers, the German automaker that owns the Mercedes-Benz brand wants American workers to build them too.

"This initiative, which will bring cutting-edge technology and new jobs to the state, is another great chapter in our relationship with the automaker", he added.

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