The additional workers will increase personnel at the largest Freightliner manufacturing plant in the United States by more than 70 percent, from approx. 1,600 to over 2,700. The Cleveland facility produces Class 8 heavy-duty truck models, including the Freightliner Cascadia, Columbia, and Argosy product lines.

DTNA is ramping up production in response to the positive market development in the NAFTA region. Freight volume is back up to pre-crisis levels, and vehicle fleets are now being gradually replaced after not having been modernized for several years. The demand growth particularly benefits heavy-duty long-haulage trucks, creating backorders as long as six months for the Freightliner Cascadia model.

In 2011 in the United States and Canada alone, Daimler’s North American commercial vehicle subsidiary substantially boosted truck sales, posting an above-average gain from the strong market rebound. With 94,155 vehicles through November 2011, sales were almost 55 percent higher than in the same period of 2010. DTNA is the most successful manufacturer of Class 6 – 8 trucks in the United States and Canada, with a market share of 32.7 percent (as of October 2011).

In response to the increased customer demand for Freightliner and Western Star brand trucks, DTNA had already increased its workforce by around 3,000 employees at various truck manufacturing facilities in the U.S. and Mexico last year.

“The growing demand for our products shows that we are on the right track and is testimony to our brands’ focus on providing efficient business solutions for our customers’ transportation needs,” said Martin Daum, President and CEO of Daimler Trucks North America, at the announcement of the production ramp-up. “We’re delivering trucks with industry-leading fuel-efficiency technology and the lowest total cost of ownership, thanks to our access to Daimler resources and technologies.”

Hiring of new employees will begin in early February, and the new production shift is slated to be at full capacity by September 2012.

Freightliner trucks are also sold internationally, and 20 percent of the trucks built at the Cleveland plant are sold through Daimler subsidiaries in the export markets of Australia, New Zealand, and South Africa.

Source: Daimler AG

Daimler and Nissan will produce Mercedes-Benz 4-cylinder gasoline engines together at Nissan’s powertrain assembly plant in Decherd, Tenn. Production will begin in 2014, with installed capacity of 250,000 units per year once full ramp–up is achieved. The Decherd facility will produce engines for Mercedes-Benz and Infiniti models.

“This is the newest milestone in our pragmatic collaboration and our most significant project outside of Europe so far,” said Renault-Nissan CEO Carlos Ghosn. “Localized capacity reduces exposure to foreign exchange rates while rapidly enabling a good business development in North America – a win-win for the Alliance and Daimler.”

The collaboration marks the first production of Mercedes-Benz engines in the North America Free Trade region. The Tennessee plant’s strategic location and logistics links ensure a direct supply of engines starting in 2014 for the Mercedes-Benz C-Class, built at Daimler’s vehicle plant in Tuscaloosa, Ala.

“In the context of our Mercedes-Benz 2020 growth strategy, we have decided that we will expand the production capacities required for this close to the customers. Through the strategic extension of our cooperation with Renault-Nissan we can realize near-market engine production in the NAFTA region on attractive economic terms and make optimum use of synergies arising from the cooperation.” Dr. Dieter Zetsche, Chairman of the Daimler Board of Management and Head of Mercedes-Benz Cars, said. “Thus we are systematically broadening our manufacturing footprint in this important growth market.”

Nissan began powertrain assembly in Decherd in 1997. Today it manufactures 4-, 6- and 8-cylinder engines for the complete lineup of U.S.-produced Nissan and Infiniti vehicles. The plant also houses crankshaft forging and cylinder block casting operations. In 2011, Decherd produced more than 580,000 engines on a covered area of more than 1.2 million square feet (111,000 square meters).

Project portfolio expands
Daimler and the Renault-Nissan Alliance launched their strategic collaboration in April 2010, including an equity exchange that gives the Renault-Nissan Alliance a 3.1 percent stake in Daimler and Daimler a combined 3.1 percent interest in Renault and Nissan.

The collaboration began with three project pillars:

- Joint smart/Twingo architecture: The project is on track for launch in the early first quarter of 2014. Two-seater smart vehicles will be produced at Daimler’s plant in Hambach, France, and four-seater smart and Renault production are slated for Renault’s plant in Novo Mesto, Slovenia.

- All-new entry-level city van project for Mercedes-Benz: The project is on schedule with expected launch in late 2012.

- Powertrain cross-supply: The Alliance is supplying Daimler with compact three-cylinder gasoline engines to be used in smart and Twingo vehicles and four-cylinder diesel engines to be used in the jointly developed light commercial vehicle and in Mercedes-Benz’s next generation of premium compact cars. Daimler will supply Nissan and Infiniti with four- and six-cylinder gasoline and diesel engines from the current and future engine portfolio as well as with automatic transmissions.

Since its founding in April 2010, the collaboration has been gradually expanded. In addition to the announcement this week about North American engine production, the companies had decided earlier to partner on:

- Platform sharing: Infiniti plans to base a premium compact vehicle on the Mercedes compact-car architecture, starting in 2014.

- Zero-emission vehicles: Daimler will provide batteries from its production facility in Kamenz, Germany, and Renault-Nissan will provide electric motors for the use in electric vehicles (smart and Twingo ZE). First releases will occur in 2014.

Source: Daimler AG

Dr. Joachim Schmidt, Executive Vice President Sales and Marketing Mercedes-Benz Cars: “Our entire SUV family is extremely popular among our customers, particularly in the USA and in its second-largest market China. With the launch of our first sports utility vehicle – the G‑Class – more than 30 years ago, we entered a segment in which we are now very successful with a total of five models. The SUVs today are an important pillar of Mercedes-Benz’s growth and have achieved a new sales record in every month since July 2010. The new Mercedes-Benz M-Class, which has enjoyed fantastic customer response to date, will give sales a further boost.”

In November 2011, Mercedes-Benz SUVs achieved another monthly sales record with deliveries of 25,552 models (+23.4%). From January through November, a total of 221,518 sports utility vehicles have been delivered worldwide (+24.3%), more than ever before in this period. The successful run-out of the M-Class was particularly noteworthy, as was the excellent start of its new models in the U.S. A new peak was set by the GLK, whose deliveries are at a record high since the beginning of the year (+25.6%). To meet the strong demand on the Chinese market, the small SUV is being produced locally in China since early December. The other model series have also developed positively in the year to date with significant increases in sales. R-Class sales jumped by 50.3 per cent, the G-Class recorded growth of 30.9 per cent, GL sales climbed by 28.9 per cent, and deliveries of the M-Class were up 15.8% despite the model change. In the coming year, the new GL and the new generations of the GLK and the G-Class will generate additional demand in the SUV segment.

The SUV models account for around one-fifth of global Mercedes-Benz sales. By far the largest market for the SUV family as well as the M-, GLK-, and GL-Class are the United States. The second largest market for the SUVs is China, followed by Germany. The classic sports utility vehicle, the G-Class, is most popular in its domestic market Germany, while the R-Class is most in demand in China.

The latest star of the Mercedes-Benz SUV family is the third generation of the M-Class, which was launched last November. One of its strongest features is its outstanding energy efficiency. As the most fuel-efficient SUV in its segment, the M-Class became the first vehicle in its class to receive the prestigious TÜV (Technical Control Board) environmental certificate – just in time for its launch. The strengths of the permanent 4-wheel-drive premium SUV also include excellent safety features and well-balanced driving comfort with strong driving dynamics both on- and off-road. Thanks to its outstanding safety systems, the M-Class was recognized as the best vehicle in its segment and awarded the top five star rating under the European NCAP (New Car Assessment Programme) for excellent occupant protection.

The new M-Class is the top model in its segment when it comes to value retention. Just recently it was recognized by “Focus Online” and “Bähr & Fess Forecast” as one of the best performers in terms of residual values in 2015. The ML 250 BlueTEC can still yield 55 per cent of its new value as a four-year-old used car.

The Mercedes-Benz M-Class was also awarded the “Golden Steering Wheel 2011” by readers of German “Bild am Sonntag” and “Auto Bild”. The other SUV models are also extremely popular among customers. This year, the longest-standing Mercedes-Benz model series, the G-Class, was crowned “SUV of the Year” for the eighth time. This major award is voted by the readers of the German “Off Road” magazine. Meanwhile, the readers of “AutoBild Allrad” gave the G-Class the victory in the “Off-road vehicles and SUVs over €60,000” category, followed by the GL-Class.

Source: Daimler AG

“Mercedes-Benz is going on the attack,” says Dr. Wolfgang Bernhard, member of the Daimler Board of Management, Manufacturing and Procurement Mercedes-Benz Cars & Mercedes-Benz Vans. “We are securing our path to the top by extensively investing in the expansion of our high-performance production network.”
Mercedes-Benz’ production plants continue to operate at near full capacity, thanks to an ongoing positive sales trend. It is already evident that the brand will reach its target of selling more vehicles in 2011 than ever before. The high production output was also made possible through the introduction of additional shifts, which were agreed with the works council. In addition, the plants continued to operate worldwide throughout the summer months so that all customer requirements could be met, and production lines will be shut down as briefly as possible during the holidays at the turn of the year.

Expansion of the international production network
One of the key elements of the Mercedes-Benz 2020 growth strategy is the targeted expansion of the brand’s international production network. At the same time, by investing substantial amounts in its German plants, Daimler is underscoring that Germany will remain the core of the production network.

To enable the company to fully utilize the enormous growth potential of the Chinese market, it will further expand cooperation with its partner, Beijing Automotive Industry Corporation (BAIC). About 2 billion euros will be invested into the joint venture Beijing Benz Automotive Co., Ltd (BBAC). In this context, production capacity for the C-Class and the long-wheelbase version of the E-Class will be expanded in line with market developments. The GLK compact SUV was recently added to the local production portfolio for the Chinese market. Beginning in 2013, three models of the new generation of Mercedes-Benz premium compact cars will further be added step by step. Also in 2013, a new engine plant will begin to produce four-cylinder gasoline engines. In addition, a new R&D center will be established at BBAC.

Between 2010 and 2014, Daimler will also invest a total of 2.4 billion US dollars in its U.S. plant in Tuscaloosa / Alabama. The plant has been the traditional production site of the brand’s M-, GL-, and R-Class SUVs and will also build the C-Class for the North American market beginning 2014. As of 2015, an entirely new Mercedes-Benz model will roll off the production line as its fifth product.

For the production of the new generation of Mercedes-Benz premium compact cars, Daimler invested 600 million euros in the Rastatt, Germany, plant and 800 million euros in a new plant in Kecskemét, Hungary. The Rastatt plant started production of the new B-Class in September 2011. In the first quarter of 2012, the Kecskemét plant will also start operations in a production network with Rastatt.

Due to the many production launches and the medium-term production targets, Mercedes-Benz is also investing more than 1.5 billion euros in 2011 and 2012 in order to modernize and expand the manufacturing of engines, axles, and transmissions at its main powertrain plant in Untertürkheim, Germany.

And the Mercedes-Benz plants continue to turn out top-quality products: For example, the facilities in Bremen, Germany, and East London, South Africa, received this year’s J.D. Power Gold Plant Quality Award for being the best production plants in Europe and Africa respectively.

Source: Daimler AG

Dr. Wolfgang Bernhard, member of the Daimler Board of Management, Manufacturing and Procurement Mercedes-Benz Cars & Mercedes-Benz Vans, explains: “The start of our local GLK production in China exemplifies our strategy of global expansion of production close to the market. We are thus supporting our sales success in our regional markets also from the production side, an important contribution to the Mercedes-Benz 2020 growth strategy.”

Ulrich Walker, Chairman & CEO of Daimler Northeast Asia, adds: “The GLK has provedto be enormously popular with customers here in China, so it is an ideal addition to our lineup of locally-produced vehicles.”

Emphasizing the importance of the Chinese market, Mr. Walker continued: “Nothing represents our long-term commitment to China more tangibly than the production of vehicles in China itself: The localized production of further Mercedes-Benz models is an important element of our growth strategy for the Chinese market. As early as 2015 we expect to locally produce two-thirds of all Mercedes-Benz passenger cars sold in China. The start of production of the GLK is another important milestone towards this goal.”

“The GLK adds to the locally-produced Long-wheel-base E-Class and new C-Class, and complements other current investments in BBAC, including the new engine plant and R&D Center. We’re also planning local production of additional Mercedes-Benz models,” explains Frank Deiss, President & CEO of Beijing Benz Automotive Co.

The Mercedes-Benz GLK has received a very warm welcome from customers worldwide since its debut in 2008. In particular in China, a growing number of customers have appreciated the brand’s compact SUV, with sales already well in excess of 20,000 units in the current year. China now represents one of the most important markets worldwide for the GLK.

Mercedes-Benz sold 168,940 vehicles overall in China (including Hong Kong) from January through November 2011, an increase of 29.9 percent compared to the same time-frame in 2010. Year-to-date sales in October 2011 already exceeded the total number of cars sold in 2010. The next few years are also certain to see further sales growth: in 2015, the company aims to sell more than 300,000 Mercedes-Benz passenger cars in China.

About Daimler Northeast Asia
Daimler Northeast Asia, located in Beijing, includes Mercedes-Benz (China) Ltd, Mercedes-Benz Auto Finance Ltd, Daimler Northeast Asia Parts Trading & Services Co., Ltd., the Joint Ventures Beijing Benz Automotive Co., Ltd. (BBAC), Fujian Daimler Automotive (FJDA), Shenzhen BYD Daimler New Technology Co. Ltd., as well as sales organizations in Hong Kong, Korea, and Taiwan.

Local production of Mercedes-Benz passenger cars began in 2006 at the 50/50 joint venture BBAC with the predecessor of the current E-Class. In spring 2008, the C-Class joined local production as the second model. Since May 2010, BBAC producesthe current E-Class as a long-wheelbase version especially customized to meet the requirements of the Chinese market.

In June 2011, Daimler and its Joint Venture partner BAIC signed a strategic framework agreement to further expand their cooperation in China. The agreement includes the following projects: expansion of local passenger car production in 2011 with the GLK, with three models of the new generation of Mercedes-Benz premium compact cars planned for 2013; further expansion of production capacities for the C-Class and the
E-Class Long-wheel-base version; production of 4-cylinder gasoline engines in 2013 for use in locally produced Mercedes-Benz passenger cars and vans; and a new R&D center to be established with a focus on vehicle testing and adaptation, as well as R&D activities with suppliers. With these projects, about 2 billion euros will be invested at BBAC.

In November 2011, Daimler and BAIC signed a Letter of Intent which will further deepen the comprehensive strategic partnership between the two companies. BAIC and Daimler will jointly analyze the possibilities of technological cooperation as well as cooperation in the field of research and development of new energy vehicles with the aim of further improving the competitiveness of both partners in China.

Source: Daimler AG

After sales had fallen by almost 25 percent in March, Mercedes-Benz already registered a slight sales increase in April. The following months, with sales growing at double-digit rates, enabled the brand with the star to climb back up to the previous year’s level in July. In October, Mercedes-Benz sold 18.8 percent more vehicles than in the same month last year (+1,707 units), allowing it to successfully defend its market position: Mercedes-Benz accounts for 37 percent of the vehicles sold in Japan by Germany’s premium car manufacturers. Sales of the smart fortwo have also increased substantially in Japan. Since the beginning of the year, deliveries of the two-seater have risen by 29.0 percent compared to the same period of 2010 (+1,042 units). Dr. Joachim Schmidt, Executive Vice President Sales and Marketing, Mercedes-Benz Cars: “We are very pleased to see Japan back on its feet. I am confident that the Japanese automotive market will further strengthen and that our growth rate will accelerate, too.”

Nine of Mercedes-Benz’ most recent car models celebrated their Japan premieres today at the 42nd Tokyo Motor Show. Until December 11, the Stuttgart-based premium car manufacturer will display 23 vehicles of its Mercedes-Benz, Maybach, and smart brands at the international car and commercial vehicle show in Tokyo. These vehicles include the new Mercedes-Benz B-Class and M-Class as well as the SLS AMG Roadster and the new smart fortwo electric drive. All those vehicles will be launched in the Japanese market in 2012. Meanwhile, Mercedes-Benz’ Concept A-Class is providing a preview of the new A-Class, which will become available in Japan in 2013. With the F 125! research vehicle the brand is looking even further into the future. The luxury class sedan is equipped with a fuel cell plug-in hybrid with a range of 1,000 kilometers. The smart brand shows futuristic design and technologies that enhance energy efficiency, lightweight construction, and temperature management with its smart forvision concept car. Traditionally, the Tokyo Motor Show focuses more on innovative future technologies in automotive engineering than other international auto shows.

Dr. Schmidt: “At the Tokyo Motor Show we are presenting an overview of our product and technology offensive. All these new cars contribute to our growth strategy and underscore our ambition to lead in the premium segment.” As part of its “Mercedes-Benz 2020” growth strategy, the brand will expand its product portfolio with ten new models until 2015. In the future there will be five Mercedes models in the compact segment alone. By 2020 the company plans to be the leading manufacturer in the premium segment. Therefore, Mercedes-Benz also aims to grow on the Japanese market.

Japan is currently one of Mercedes-Benz’ top ten sales markets. Since January, Mercedes-Benz has posted its strongest sales growths in Japan within the C-Class segment (10,260 units, +29.7%). The C-Class estate has achieved year to date record sales of 3,456 units (+43.3%).The C-Class’ great popularity in the country is also demonstrated by the fact that it was voted among the top ten contenders for the Car of the Year 2011 award. Moreover, with the C-Class sedan Mercedes-Benz is the market leader among the importers in its segment. The new generation of the SLK, which was introduced this year, is also very well received by customers. In the luxury car segment, the S-Class sedan is leading the import manufacturers. In the J.D. Power Sales Satisfaction Index (SSI) for 2011, Mercedes-Benz was the top-ranking import brand in Japan.

Especially with regard to alternative power train systems, the Japanese market plays an important role. The demand for electric vehicles, for example, is rapidly increasing. That is why Daimler’s smart brand has been operating a test fleet of ten second generation smart electric drive in Japan since last year. The smart electric drive is currently being tested in 18 markets worldwide. From the very start, the two-seater was also designed for electric operation. The first generation of the vehicle was tested in London back in 2007. The third generation of the car will be launched in the market next year. It is the first series-produced electric vehicle from Europe and will be available in more than 30 countries. Dr. Annette Winkler, head of smart: “Response to the third generation smart fortwo electric drive has been overwhelming so far. I am really proud to present it here in Tokyo, one of the megacities the smart has been developed for. As electric mobility has a high status in Japan, we are very happy to offer our Japanese customers the innovative electric smart fortwo starting 2012.” More than 26,000 smart brand vehicles have been sold in Japan since the car was introduced into the market eleven years ago.

The wholly owned Daimler subsidiary Mercedes-Benz Japan Co., Ltd. is responsible for importing, selling, and marketing products of Mercedes-Benz Cars in the Japanese market. The company maintains a comprehensive sales and service network in Japan, encompassing 73 dealers with 204 sales outlets as well as 227 service workshops. Since 1993, Mercedes-Benz has been operating one of its five Advanced Design Centers near Yokohama. Besides Mercedes-Benz Japan Co., Ltd., Daimler AG is also represented in Japan by its subsidiaries Daimler Financial Services Japan Co., Ltd. and Mercedes-Benz Finance Co., Ltd. In addition, Daimler owns almost 90 percent of Mitsubishi Fuso Truck and Bus Corporation (MFTBC), one of Asia’s leading commercial vehicle manufacturers. MFTBC is an integral part of the Daimler Trucks division of Daimler AG. All in all, Daimler employs around 13,000 men and women in Japan.

Source: Daimler AG

In all, more than 1.5 billion euros are to be invested in the extension and conversion of various parts of the plant and in the launch of new products and production technologies.

“With full order books behind us, we are investing in our powertrain production to ensure it is fit to face future competition,” explains Dr Wolfgang Bernhard, Member of the Daimler AG Board of Management, responsible for Manufacturing and Procurement, Mercedes-Benz Cars and Mercedes-Benz Vans. “These investments represent an important contribution to the implementation of our Mercedes-Benz 2020 growth strategy.”

“Untertürkheim is the birthplace of the automobile,” notes Peter Schabert, head of Mercedes-Benz Cars Powertrain production and head of the Untertürkheim plant. “These investments will ensure that we continue to play a role in shaping the ongoing evolution of mobility from our base here.”

The investments will be allocated to extension and conversion measures and to new manufacturing technologies in the area of axle, transmission and engine production – for the new generation of compact cars, for example. 270 million euros are earmarked at the Hedelfingen subplant for the ramp-up of the new dual clutch transmission, which is being deployed in the new Mercedes-Benz B-Class. The area of upstream operations, the foundry and forging works at the Mettingen subplant, has also been brought up to scratch for the future: the production of turbocharger housings by means of a specially developed casting process was started up this year at the former grey iron foundry on the back of investments in the order of 65 million euros. Next year will also see the commissioning of a die-casting laboratory in which 30 million euros have been invested. This lab will serve to simulate and optimize casting processes and to develop tool concepts.

About the Untertürkheim plant
Stuttgart’s largest industrial facility is based in the Untertürkheim city district. The core of the automobile – engines, transmissions, axles and other powertrain components – is produced at the seven sub plants, including Esslingen-Mettingen, Hedelfingen and Bad Cannstatt, with a total production and administrative workforce of around 17,000. Powertrain and parts kits are delivered from Untertürkheim to Mercedes-Benz production plants in Germany and around the world.

On average, the powertrain production network produces axles, transmissions and engines for more than one and a half million vehicles annually, corresponding to a daily output of around 6000 drive systems. The full order books have led to the creation of 600 new jobs in Untertürkheim this year.

Source: Daimler AG

The plant has been the traditional production site of the brand’s M-, GL-, and R-Class SUVs and will also build the C-Class for the North American market beginning 2014. For the production of the new model, Daimler will additionally invest US$ 350 million, and will create some 400 further jobs at the plant.

Dieter Zetsche, Chairman of the Daimler Board of Management and Head of Mercedes-Benz Cars: “This new model from the Tuscaloosa plant is an important element of our growth strategy. It is one of the ten additional models which we will introduce within the next four years alone across all segments.” Referring to the Tuscaloosa plant’s role within the global production network of Mercedes-Benz Cars, Zetsche added: “At the same time, we are systematically broadening our manufacturing footprint in the NAFTA region.”

Robert Bentley, Governor of the State of Alabama: “Since the time Mercedes-Benz chose Tuscaloosa County for its first US assembly plant 18 years ago, the company has proven to be an outstanding partner for the state. We join MBUSI in celebrating this milestone, and welcome the hundreds of jobs this announcement brings to Alabama.”

Just earlier this year, on the occasion of the Job #1 ceremony of the new Mercedes-Benz M-Class in July, Daimler had announced the decision to invest more than US$2 billion in the Tuscaloosa plant (Mercedes-Benz U.S. International – MBUSI). In total, investment in the plant between 2010 and 2014 will thus amount to US$2.4 billion, while the number of newly created jobs will add up to 1,400.
Markus Schaefer, President and CEO of MBUSI, commented on these decisions: “The entire MBUSI team is proud of its role in the success of the models made in Tuscaloosa. We are looking forward to making further important contributions to the product offensive of Mercedes-Benz.”

Source: Daimler AG

Dr. Wolfgang Bernhard, member of the Board of Management responsible for Manufacturing and Procurement Mercedes-Benz Cars & Mercedes-Benz Vans: “The C-Class is selling outstandingly well. To meet the high customer demand we are working extra shifts in production also in South Africa.”

Rainer Ruess, head of the Mercedes-Benz East London plant: “With the entire team putting in a great effort, we are producing at the limits of capacity in East London – never before did we build so many vehicles for right-hand-drive markets in one month as in July.”

Globally, since the first month of its introduction to the market the new generation of the C-Class Sedan has defended the top position in its class. In all, Mercedes-Benz posted 11.4 percent higher sales in the C-Class segment in the first half of 2011 – in June even 18.7 percent.

Many awards for production quality
The East London plant’s excellent production quality has repeatedly won recognition: just recently the renowned market research institute J.D. Power and Associates presented East London, together with the Mercedes-Benz Bremen plant, a Gold Award as the best car production facilities in Europe and Africa. Last year East London received a Platinum Award from J.D. Power as the best auto industry plant worldwide; in 2009 it was also the recipient of a Gold Award.

About the Mercedes-Benz East London plant
Mercedes-Benz has had a presence in South Africa since 1954 and acquired majority ownership of the East London plant in 1984. The current C-Class belongs to the third vehicle generation to be manufactured on South Africa’s Eastern Cape. Since the year 2000 the plant exports sedans to right-hand-drive markets; since the start of production of the new C-Class in 2007 it also manufactures left-hand-drive vehicles for export to the USA. In 2010 about 2300 employees manufactured more than 52,000 vehicles. Beginning in 2014 the East London plant — as one of four global locations alongside the C-Class competence center in Bremen, the US plant in Tuscaloosa, Alabama, and the Chinese production facility Beijing Benz Automotive Co., Ltd. (BBAC) — also will produce the successor generation of the current C-Class.

Source: Daimler AG

A total amount of more than 2 billion US dollars is invested for the production of the new M-Class, the successor generations of the GL-Class and the C-Class, and the expansion of production capacities.

Dr. Dieter Zetsche, Chairman of the Daimler Board of Management and Head of Mercedes-Benz Cars: “We’re continuing to write new chapters of the plant’s success story with significant investments into the future. Tuscaloosa was the first production location of Mercedes-Benz Cars ever outside Germany, and today it is among our best. As our ‘pioneering plant’, it is also the blueprint for our new operations in emerging markets.” In a special address to the entire MBUSI team, Zetsche highlighted their contributions: “A big thank you to the team that helped us get that far – all of you.”

MBUSI hosted a special new M-Class “Job 1” Celebration on July 20th in which Markus Schaefer, President and CEO of MBUSI, welcomed the 2,800 MBUSI team members, as well as guests including Alabama Governor Robert Bentley and Tuscaloosa Mayor Walt Maddox. Also attending the ceremony with Dr. Dieter Zetsche were Dr. Wolfgang Bernhard, board member Production and Procurement Mercedes-Benz Cars and Mercedes-Benz Vans, Dr. Thomas Weber, board member Group Research and Mercedes-Benz Cars development, and Dr. Joachim Schmidt, Executive Vice President Sales and Marketing, Mercedes-Benz Cars.

Referring to the production launch of the new M-Class, Schaefer said: “Demand for the M-Class in our 14 years of production has clearly surpassed all our expectations – in terms of sales, customer loyalty, and popularity. And customers will soon recognize that our all-new M-Class is again setting new benchmarks in the SUV segment – in terms of efficiency, safety, agility, driving enjoyment and design.”
Schaefer also pointed out the value of the outstanding community relations which MBUSI enjoys: “Today, we also celebrate the successful cooperation we have had with the State of Alabama and local governments since we first announced our decision to come to Alabama. We truly appreciate this leadership. ”

Looking back at the disaster of the tornados that hit the South of the U.S. and especially the City of Tuscaloosa on April 27, 2011, Schaefer also announced that MBUSI will donate an additional 100,000 US dollars to Alabama tornado relief and recovery efforts. On May 05, Daimler and MBUSI had committed a cash donation of 1 million US dollars to a number of charities in West and Central Alabama to support emergency and reconstruction projects and to help the Alabama community begin on this path to recovery.

About MBUSI
The Tuscaloosa plant was founded in 1995 and started production in 1997. The Mercedes-Benz M-Class was the first product and has been built ever since, later joined by the SUVs of the GL- and R-Class. In 2010, the plant produced more than 125,000 vehicles and employed some 2,800 team members at the end of the year. As of 2014, the Tuscaloosa plant will also produce the successor generation of the current C-Class for the North American market – as one of the four global production locations along with the C-Class center of competence in Bremen, Germany, the South African plant in East London, and the Chinese Production location Beijing Benz Automotive Co., Ltd. (BBAC).

Quelle: Daimler AG

The new company, which is to be set up under the name EM-motive GmbH, will develop and produce innovative electric motors – also known as traction motors – for electric vehicles. The company will have its headquarters and manufacturing facilities in Hildesheim. The joint venture’s engineering site will be located close to the parent companies in the Stuttgart area. Some 100 employees are expected to start working for the joint venture in the fourth quarter of this year. EM-motive GmbH will be headed up by two directors of equal rank, one from each partner company.

According to Prof. Dr. Herbert Kohler, Vice President e-drive & Future Mobility in Group Research & Advanced Engineering and Chief Environmental Officer of Daimler AG: “Like lithium-ion batteries, electric motors are key components for our electric vehicles. It is extremely important that competence in this field is maintained in Germany. In joining forces with Bosch, we have now teamed up with a long-standing partner, and are confident that this move will lead to outstanding results.”

Wolf-Henning Scheider, the member of the board of management of Robert Bosch GmbH responsible for the Chassis Systems Control, Electrical Drives, and Starter Motors and Generators divisions, says: “This alliance is an investment in securing the future of the European automotive industry. It is also a perfect addition to our portfolio of electric motors for all our customers”.

The aim of the cooperation between Daimler and Bosch in the field of electric mobility is to pool competencies and exploit synergies, and as a result to accelerate the development of premium traction motors for electric vehicles with battery, fuel cell, or range extender. The preparatory activities for the establishment of the joint venture have already begun, and the production of motors is due to commence at the start of 2012. From that same year, the traction motors will be used in the electric vehicles of both the Mercedes-Benz and smart brands, starting with the new generation of the smart fortwo electric drive, which is to go on sale in early 2012.

The distinctive feature of the electric motors produced by the joint venture is their modular design, which means that they can be installed in a wide variety of all-electric vehicles.

The joint venture will supply its parent companies with electric motors for electric vehicles. Sales to third parties will be carried out by Bosch. According to current plans, the joint venture will have produced more than one million electric motors in all by 2020.

When it comes to the development and production of electric traction motors, both companies will be contributing their engineering know-how. As a leading supplier to the automotive industry, the technology and service company Bosch has a high level of expertise and decades of experience in both the development and production of electric motors.

For its part, the automotive manufacturer Daimler can draw on more than 20 years of experience in the field of electromobility, particularly in fuel cells and batteries. It thus has extensive competence with respect to the development and production of electric vehicles.

Source: Daimler AG

Suggested retail pricing for the 2012 SLK350 will start at $54,800, while the 2012 CLS550 will begin at $71,300 and the high-performance CLS63 AMG at $94,900. Prices exclude a $875 destination & delivery charge.

SLK Features Trend-setting Retractable Hardtop

The 2012 Mercedes-Benz SLK coupe/roadster represents the third generation of a two-seat sports car that rocked the automotive world when it unveiled the first automatic retractable hardtop in modern times. With the top up it’s a quiet, weather-tight coupe – push a button, and 20 seconds later the car is topless. Like the retractable hardtop of the larger SL model, the rear window of the SLK pivots to match the curvature of the top as it’s being lowered, providing more trunk room than ever.

The SLK350 is powered by a new 3.5-liter V6 that features direct injection and multi-spark ignition. With even more power and better fuel economy than its predecessor, the new SLK engine generates 302 horsepower and 273 lb.-ft. of torque.

CLS Four-Door Coupe Gets First Major Redesign

The four-passenger 2012 CLS coupe represents the first major redesign of a car that established an entirely new market segment – the four-door coupe, which combines the emotional appeal and dynamic design of a coupe with the comfort and functionality of a sedan. When it hits the U.S. market in the summer of 2011, the 2012 CLS line will offer a choice of two exciting models, both powered by new biturbo, direct-injection V8 engines. The 4.6-liter CLS550 engine produces 402 horsepower and 443 lb-ft. of torque, and the high-performance CLS63 AMG is powered by a 5.5-liter version of the new V8 that’s rated at 518 hp and 516 lb.-ft of torque.

Source: Daimler AG

As a result, the fuel consumption of the luxury class saloon has been brought down to 6.2 litres per 100 kilometres (NEDC combined). The S 350 BlueTEC is also one of the world’s cleanest diesel models.

The V6 diesel engine in the S 350 BlueTEC develops an output of 190 kW (258 hp) from a displacement of 2987 cc, and generates 620 Nm of torque. It also comes with excellent fuel consumption and emission values as standard. Thanks to BlueTEC with AdBlue® exhaust treatment, the S-Class model – which made its debut in 2010 – currently already fulfils the emission values planned for 2014 in accordance with the EU6 standard, and as such is one of the world’s cleanest diesel vehicles. The new ECO start/stop function fitted as standard now helps to improve the efficiency of the luxury class saloon even further. With a combined consumption of 6.2 litres of diesel per 100 kilometres, the S 350 BlueTEC improves on the figures of its predecessor by 0.6 litre, or nine percent. CO2 emissions have dropped from 177 to 164 grammes per kilometre.

The ECO start/stop system developed by Mercedes-Benz switches the engine off when the vehicle comes to a standstill – for example at traffic lights. The engine then immediately starts again as soon as the driver takes his foot off the brake pedal. Thanks to the intelligent control system, all of the vehicle’s functions and comfort systems continue to operate during the stop phase.
The increase in efficiency was also achieved, among other things, through the use of TWAS(twin-wire-arc-sprayed) coating technology.
AMG has been using TWAS coating technology since 2005 in the 6.3-litre V8 in all model series, including the new SLS. Based on the positive experiences gained, Mercedes has now also developed this technology further for diesel engines. It is currently being introduced in the new Mercedes V6 diesel engine.

The benefits are impressive. Taking the diesel engine as an example, the potential savings are around 3%. At the same time, the weight has been reduced by 4.3 kg.

The price of the Mercedes-Benz S 350 BlueTEC remains unchanged at 76,517 euros, inclusive of 19% VAT.

In line with customers’ wishes, the accessories specialists are broadening the range of popular bichromatic wheels. Apart from their visual merits, these wheels also boast an outstanding standard of quality. Wheels from Mercedes-Benz Accessories are required to meet the same high specifications as standard production wheels. Neither certification nor registration with the TÜV technical inspection authority are required when fitting these wheels, as they all form part of the vehicle homologation.

Alongside the wheels sporting an impressive single-tone paint finish, the high-sheen bichromatic light-alloy wheels derive their additional appeal from the interesting contrast between the apparently bare metal surface and the painted surfaces. These wheels lend the vehicle a yet more exclusive appearance and are considered by the designers at Mercedes-Benz to be more than just a passing fad. “Both the studies by our colleagues at the Mercedes-Benz Advanced Design studios throughout the world and intensive market research reveal one and the same picture. Bichromatic wheels are becoming ever more popular,” notes Klaus Frenzel, who oversees design development for new wheel models at the Mercedes-Benz Technology Center.

For spring 2011, Mercedes-Benz Accessories is offering new light-alloy wheels amongst others for the following model series (as per March 2011):

SLK-Class 43.2 cm (17″) Incenio 10-spoke wheel
Surface finish: Bichromatic palladium silver / high-sheen
Wheel size 7.5J x 17 ET 42 / tyre size 225/45 R17
€ 289.-*
Optional for the rear axle: Wheel size 8.5J x 17 ET 36 / tyre size 245/40 R17
€ 295.-*

SLK-Class 45.7 cm (18″) Incenio 5-twin-spoke wheelSurface finish: Bichromatic palladium silver / high-sheen
Wheel size 7.5J x 18 ET 42 / tyre size 225/40 R18
€ 315.-*
Optional for the rear axle:
Wheel size: 8.5J x 18 ET 36 / tyre size 245/35 R18
€ 325.-*

CLS-Class 48.3 cm (19″) Incenio 10-spoke wheel
Surface finish: Bichromatic black / high-sheen
Wheel size 8.5J x 19 ET 34.5 / tyre size 255/35 R19
€ 399.-*
Optional for the rear axle:
Wheel size 9.5J x 19 ET 48 / tyre size 285/30 R19
€ 405.-*
Finish: Bichromatic titanium silver / high-sheenWheel size 8.5J x 19 ET 34.5 / tyre size 255/35 R19
€ 405.-*
Optional for the rear axle:
Wheel size 9.5J x 19 ET 48 / tyre size 285/30 R19
€ 411.-*

* recommended retail price incl. 19% VAT

Source: Daimler AG

The three areas of foundry, machining and assembly work perfectly together like the cogs of a well-oiled wheel. Their common goal: to build perfect-quality engines. To this end, several hundred million euros have been invested in a new manufacturing facility at the Mannheim plant.

The “synchronous plant”
Within the space of just six days, a new-generation Mercedes-Benz engine has to pass through every stage of the manufacturing process, from its origins as molten iron in the foundry through to the machining and then assembly shops. Such an ambitious target can only be met if production processes are perfectly organised. With this in mind, the Mannheim plant has chosen to adopt the system of the “synchronous plant”: the three production areas of foundry, machining and assembly work as an integrated system in a continuous flow of production that only requires 50% of the inventory levels maintained for earlier model series.

There is no room for errors in this system. They are precluded by excellently trained staff, the sophisticated production system, the very best possible machinery and a whole series of statistical quality checks. All areas work closely together, physically as well as conceptually, ensuring that internal supply routes are kept as short as possible.

Top quality is also ensured from the very outset by the very thorough preparation undertaken. The first engines from the new Mercedes-Benz OM 47x generation were produced on the assembly line as early as last summer. The second stage, which ran from the end of 2010, involved the very thorough training of all staff. The series production that has just begun is seen as a preliminary to the steep ramp-up that will follow in the third quarter of this year. By the time all the engines in the new range have been introduced, the Mannheim production plant will be able to handle the annual production of more than 100,000 engines of this generation.

Foundry: “designer” materials for castings
The company’s in-house foundry is the first stop in the engine manufacturing process. Classic images of scorching heat, extreme working conditions and of iron-casting as the high art of metalworking are totally outdated concepts at the Mannheim plant’s foundry. This is an extremely high-tech manufacturing facility, and the most advanced casting facility in the world, with the highest level of productivity and lowest wastage rate. Unlike in other engine manufacturing plants, the foundry at the Mannheim plant is an integral part of the production process. Crankcases, cylinder heads and flywheels for the new generation of engines are all produced in the foundry.

Many of the casting processes have been patented; the foundry has worked with several universities to develop its own special materials for this new generation of engines. The cast iron for the crankcase, for example, is made of a special blend of ingredients. This unique compound is only to be found in the melting furnaces of the Mannheim plant. It is not available to purchase, and its precise composition is a secret. In fact it elevates the properties of the castings made virtually to the same high level as cast iron with vermicular graphite. This material is used to meet the particularly exacting requirements for the cylinder head.

Robots use the finest sand to produce core packages
The extreme precision of the manufacturing process becomes especially obvious in the fully automated core shop. For the first time, robots are being used here to create the packages out of sand cores – a tremendous technical challenge. The material that is being used in Mannheim is highly refined and free from dust: the size of the sand grains is set at a diameter of 0.35 mm, with an accepted tolerance for the average grain size of just 0.02 mm. While it is the cores made out of resin-bonded binder systems that define the internal shape of the castings, the external shape of the casting model is determined by clay-bonded sand cores. The Mannheim sand system has a recirculation rate of 90%, another feature to set a benchmark in environmental terms!

Casting temperatures of around 1400 degrees, rest period after casting
Casting is a largely automated process, conducted away from air and atmospheric influences. The precisely defined casting temperatures are 1395 degrees Celsius for crankcases and 1450 degrees for cylinder heads. The castings are then allowed to rest in their sand and on a bed of sand for an initial cooling period of at least four hours – any other handling would make the material brittle and friable. By this time the castings still have a temperature of around 650 degrees, at which point they are left to cool at ambient temperatures for a further 12 hours. Once they have cooled to room temperature, they can be taken to the next stage.

The castings at this stage do not have a shiny metal surface but are black. Each component is coated in a very fine layer of sand, with the discoloration due to the fact that the core sand is mixed with carbon to prevent it reacting with the iron during the casting process. The sand is then removed by being jet-blasted with grains of steel. The few burrs still left on the castings are then removed in what is known as the trimming process.

Channels and ducts already cast into the cylinder head
It’s worth taking a closer look at the finished castings. The cylinder head in the new engines, for example, is the most complex to be found anywhere in this size of engine. The water ducts and oil and fuel return lines are already cast in the cylinder head. This obviates the need for many of the pipes that normally run round the outside of the engine, so reducing complexity during assembly and resulting in an exceptionally leakproof engine.

From a fine art to a perfect process: iron casting in Mannheim
The success of the new manufacturing technology: iron-casting has been transformed from a skilled art into a highly efficient process. As lead engine production plant, the Mannheim plant has now rolled out this process to other plants in the Group. So now, for example, the crankcases for the new 12.8-litre Mercedes-Benz OM 471 are cast according to exactly the same principles at Atlantis Foundries in Cape Town/South Africa. They are then delivered to Mannheim for further processing, making them among the most far-travelled components in the new engine family.

One of the world’s largest machine shops for the “5 Cs” of CV engine manufacturing
Machining takes place right next to the foundry. With an annual processing capacity of 100,000 tonnes of cast iron, this is one of the largest facilities of its type in the world. All the key metal components, the “five Cs” of cylinder head, camshaft, crankcase, crankshaft and connecting rod, undergo machining here. And in the machine shop, as well as in the foundry, the production experts at the Mannheim plant have stretched the technological boundaries to achieve extreme manufacturing tolerances. Several examples serve to demonstrate this.

The first composite camshaft for heavy engines
Among the highlights of the engine and manufacturing technology that goes into the new generation of engines is the world’s first composite camshaft for heavy-duty commercial vehicle engines. The separation of shaft and cams in a composite camshaft permits the selection and use of the ideal materials for each individual component. It is a process that requires tremendous expertise.

The shaft itself is not solid but, for weight reasons, is in fact a hollow tube. During preheating, the cams expand; they then shrink into precisely the right position as they cool. This process results in an extremely close-fit, firm join with a high degree of dimensional accuracy: the cams fit to 2 µ (1 µ, or “Mu”, corresponds to a thousandth of a millimetre). The composite camshafts have considerable advantages over the conventional single-piece camshaft produced in a machining process: the weight is halved, the production costs are around a third lower and there is considerably less wastage.

Spectacular and unique machining processes
There are further spectacular processes to be discovered in the machining section of the Mannheim plant. For example the deep hole drilling used for ducts inside the cylinder head: the holes drilled can be up to 900 mm deep and are not even 10 mm in diameter. The drilling is precise to exactly 10 µ, in other words to a hundredth of a millimetre.

For the first time, the camshaft produced in Mannheim is ground in just one step rather than in two, as hitherto. The level of precision achieved is thus far greater, because the shaft only has to be inserted into the machine once. After this single grinding process, the shafts are, at most, 0.2 mm out of true, so only minimal aftertreatment is required.

Another of the further special processes undertaken here is the plateau honing of the cylinder liners for the new engines. The cylinder wall is honed (smoothed) as usual in a cross-grinding process, after which any rough, protruding peaks are trimmed in a further finishing process, using a special stylus. This produces a plateau-like surface with oil-retaining pockets. In conventional manufacturing processes, this surface is produced during the stabilising phase of new engines by the friction of the oil control rings against the cylinder liner. This stabilising period, and the wear and tear that it involves, is therefore eliminated in the new-generation engines. The result is a more even spread of oil over the cylinder liner, while the piston rings no longer become pitted. As a further effect, oil consumption falls by about two thirds.

Production in the machining area is a hybrid process, comprising both transfer lines and a number of machining stations. These are modular in design: as series production of the new engine generation is ramped up, the number of stations can be continually increased through investment in additional machines.

Clinical standards of cleanness throughout the manufacturing process
The precision of the work undertaken in the foundry and assembly areas is matched by exceptional cleanness. Before each next step in the process, all components are thoroughly cleaned in one of a variety of ways. This may be by steel grit blasting, ultra-sound or by jet-cleaning with various fluids. Thus even larger castings, such as a crankcase, are just as clean inside as the bought-in plastic wiring. The maximum particle size is less than 1 µ. For comparison purposes: a human hair is around 0.1 mm in diameter, or 100 µ.

The “Illig factor” – benchmark for cleanness in the automotive industry
The almost clinical levels of cleanness are continuously monitored and documented by the plant’s own washing and cleaning laboratory. This involves the minute residual dirt particles being separated out and inspected under special microscopes. A so-called “Illig factor” has now in fact been named after the head of the laboratory at the Mannheim plant. This relates to a formula for the technical cleanness of fabricated parts, which became a valid unit of measure for the whole motor industry last autumn and is now enshrined in the literature of the German association of the automotive industry, the VDA.

A high level of cleanness is one of the stringent quality assurance requirements along the way to achieving a target of zero errors. A whole range of tests before and after each machining step is also part of this process. These ensure that each individual part is tested several times. All parts therefore have to pass repeatedly through extensive checks at what are known as quality gates, before and after being worked on in the foundry and in the machining area.

Assembly: engines built under what are essentially clean room conditions
Precision and cleanness are similarly key factors when it comes to the assembly of the new engine generation. In Hall 150, built for the production of the new engine generation in 2007, a constant slight overpressure is maintained in order to prevent dust penetrating in from outside. In- and out-going deliveries take place through an air lock outside the hall itself.

The process of assembling the engines is just as sophisticated and, in many key respects, has been designed by the employees themselves: the engine fitters spent a whole week assembling engines in a specially created work area, watched by workplace safety and quality assurance colleagues. They were thus able to simulate each individual stage, documenting them in the production training system along with all the “tips and tricks” learned along the way. Together, they created a new assembly system that is second to none, anywhere in the world.

The daily routine of each assembly line is organised jointly by managers and staff as part of the shop floor management process. The production teams meet each morning at 7.30 a.m. to discuss the key data from the previous day, any potential problems and the staffing schedule. At 1 p.m., any issues that have still not been resolved are discussed again. This process has now even been standardised for use all over the world.

Step one: etching the model plate
During the assembly process, the engines glide from station to station in Hall 150 on automatically guided vehicles. The first step in the manufacturing process is what is known as etching: in a small cabin, the engine model plate on the crankcase is etched with a special stylus. The assembly then begins, with the crankshaft and cylinders and so ultimately to the sump – the crankcase is complete.

Meanwhile, the pre-assembly of the cylinder head, including the valves, is taking place. The pre-assembly stations are docked directly on to the assembly line in a fishbone pattern. The cylinder head is mounted onto the crankcase with 36 screws. A fully automatic multi-head screwdriver with four spindles tightens them in a set sequence with a pre-determined torque.

Once the cylinder head has been attached, it is followed by the camshafts and the rocker arms for the valve actuation. The adjustment of the valve clearance is undertaken by a technician at a workstation that was designed here at the plant. With the assembly of the gear drive, the engine is already mechanically functional. The flywheel, the installation of the wiring harnesses, engine control unit, filter modules and turbocharger follow. The engine is then coated in a clear varnish. All components of the new engine family thus shine in their original colour.

Engines log in at each station
Technology helps the engine fitters with their work. Each engine logs in independently at the relevant work station using its own specific data. The fitter then selects the required parts from a so-called pick-to-light racking system. The term is, in essence, self-explanatory: the technician takes the parts out of the racking one by one, until the green light in the appropriate section goes out. The data input from the engine also automatically sets the tightening torque and the angle of the screws.

Better safe than sorry…
Should any problems ever arise during assembly, the fitter can press an alarm button to call for help. If 70 percent of the time allocated at a specific station has passed without the problem being resolved, a member of the support team will step in to help. Problems are tackled immediately and on the spot: there is no way of channelling an engine out of the line.

A series of quality checks are integrated into the assembly process. Each individual engine is carefully examined at several points during manufacture before finally passing through the distinctive pillars of the quality gate at the end of its line. At this point the engine is checked by two technicians, according to the four-eye principle. They check the seals and electrics of the engine, while even the crankshaft is rotated and the resulting friction registered.

At the quality gates, staff use various lists to make the relevant checks. First of all, there is a general checklist for that specific gate. If a fault has actually been identified by the OEM or customer, every single engine produced will be checked on this point until a full three weeks have passed without the specific problem arising again. If a fault is identified on an individual engine, the measures taken to resolve it are also checked. During the production start-up phase for the new engine generation, there are even experts on hand to monitor the fault-finding process: they purposely build in small faults and then check if they are found.

Engine testing by directional microphone
Finally, every engine undergoes testing at an engine test station. Eight test cells have been created for this purpose in a special testing area within the assembly hall. Each engine undergoes cold as well as brief hot testing. This ensures that the highest quality is maintained, although the test procedures take less than ten minutes. This is the first time in the world that cold and hot testing of heavy-duty engines has been undertaken at a single test station. To help locate potential faults, directional microphones are used to test the engines for structure-born noise.

The assembly shop in Hall 150 is currently undergoing a refit in readiness for the production start-up of the new engines. Once this has been completed, by the end of 2011, this will be the most advanced engine assembly facility in the world.

Perfect logistics in engine despatch
Exceptional efficiency is also the watchword when it comes to the despatch of the engines, which takes place right next to the assembly shop. The truck lane has been lowered here, so that loading can take place on the level. As a result, only a fraction of the number of fork-lift trucks are required, compared with the way things were done in the past, and far fewer fork-lift movements are necessary. The logistics of the despatch process are exemplary: throughput time has been reduced from two days to just four hours. Dockets attached to the completed engines show the precise time of despatch.

Mannheim plant at the heart of international co-ordinated production
The Mannheim plant is the lead plant worldwide for heavy-duty commercial vehicle engine manufacturing at Daimler Trucks. This is where all logistics and quality processes within the co-ordinated production system are controlled, so ensuring the quality and availability of the necessary parts throughout the global network. Production and quality standards, as well as the processes and plant engineering used, are all defined in Mannheim. Mannheim is also responsible for regional supply management co-ordination.

The plant is at the heart of Daimler Trucks’ international co-ordinated engine production system. All Mercedes-Benz new-generation engines are produced here, as are the drive units for Fuso in Japan. Detroit Diesel in the US has its own assembly plant covering North America.

The new generation of engines is produced in a sophisticated interplay between the company’s sites around the world: once series-production of the Mercedes-Benz engines has started up, the Mannheim plant will produce all cylinder heads, all camshafts and all flywheels, plus the engine blocks for the Mercedes-Benz OM 47x and the crankshafts for the Mercedes-Benz and Fuso engines. The crankcases for some members of the engine family come from the company’s Atlantis plant in Cape Town/South Africa. The connecting rods for all heavy-duty engines of the new generation are manufactured centrally in the US.

The Mannheim plant: the best of three worlds
The Mannheim plant benefits from this close inter-continental cooperation. Comparisons between the assembly lines in North America and Mannheim serve to improve quality. There is a constant international exchange of experience: if a problem occurs in one continent, feedback goes immediately to the other two so that specialists from three continents can work on finding a solution. Due to the international time differences, video conferences take place in the mornings with Fuso in Japan and in the evenings with Detroit Diesel in the US.

Each location has something to learn from the others. The shop floor management system used on the assembly lines in Mannheim, for example, came originally from North America. From Japan came an uncompromising focus on quality. In Japan, for instance, the new engine is partially sprayed with white chalk and then allowed to run for several hours as a way of identifying any leakage. In a country where truck drivers tip their cabs on a daily basis for a meticulous visual inspection of the engine, even an engine plate that has not been fitted quite straight is seen as a blemish. On the new-generation Mercedes-Benz engines, even the fixing of the engine plate is done with meticulous attention to accuracy.

New production facility protects both its neighbours and the environment
The new layout of the engine manufacturing facility at Mannheim groups the foundry, machine shop, assembly and despatch in close proximity to one another. This is one of the prerequisites for achieving the highest possible levels of efficiency as well as exceptional quality. In addition, each area in its own right uses highly sophisticated production processes. But the Mannheim engine plant does not sit on an island: its neighbours include several residential areas. The buildings of the engine production facility are therefore constructed in an L-shape, so providing noise insulation for the surrounding area. On the side of the building facing the houses the windows cannot be opened – the interests of local residents were high on the list of priorities during the restructuring of the production facility.

Working in a sea of fresh air
Protection of the environment and an awareness of costs are evident in many places. Inside Assembly Hall 150, the fitters work in a “sea of fresh air”: ventilation up to a height of 2.5 metres is provided through columns, so not only ensuring a pleasant atmosphere but also reducing energy consumption on heating and ventilation by about a third.

The tremendously high proportion of core sand re-used in the foundry is a further example of the intelligent way in which concern for the environment and cost awareness have been linked: 92 percent of the material is recycled.

Source: Daimler AG

Prof. Herbert Kohler, Head of e-Drive and Future Mobility: “To consolidate our leading position in the field of alternative drive systems, we are ensuring direct access to the key technologies involved. Following our systematic development of battery expertise together with Accumotive GmbH in Germany, this decision is a further, major step on the road to emission-free driving.”

Günter Walz, Vice President Planning international cooperations Mercedes-Benz Cars, said ”The decision was made to create and build a new production facility under the aegis of Mercedes-Benz Canada as the logical next step of Daimler’s successful cooperation with partners in Vancouver. In February 2008, the “Automotive Fuel Cell Cooperation” (AFCC) in Burnaby, east of Vancouver, was founded as a joint venture between Daimler (50.1%), Ford (30%) and Ballard (19.9%). This is where the fuel cell stack, now used in the current Mercedes-Benz B-Class F-CELL and the Citaro FuelCell Hybrid city bus, was developed.

The aim of this new operation is to cover the entire value chain, from materials research and development of a production technology for a large-scale production.

Construction of a facility designed for the production of stacks for fuel cell vehicles will begin immediately in a 2000 square metre space in a new Burnaby location. Completion of the production facilities is scheduled for early 2012. Following a graduated test and commissioning phase, small-series production of next-generation fuel cell stacks will commence as of 2013. Apart from delivering a higher output and efficiency, these fuel cell stacks excel with their compact construction. This next generation fuel cell stack will also be suitable for use in sedans such as the Mercedes-Benz C-Class or E-Class.

Since 2009, Mercedes-Benz produces the fuel cell powered B-Class F-CELL under large-scale production conditions. These are currently being driven on a day-to-day basis by customers in Europe and the USA. In addition, three B-Class F-CELL models are traveling 30,000 kilometres around the globe in the “Mercedes –Benz F-CELL World Drive” to demonstrate the high technical maturity of fuel cell technology. At the same time, this round-the-world journey is an appeal to all involved parties in industry and politics to accelerate the construction of the necessary network of hydrogen fueling stations.

125 years after the invention of the automobile, Daimler is taking the lead role in shaping the future of mobility. Its drive strategy focuses on three key development areas: firstly, optimization of vehicles with high-tech internal combustion engines, secondly, further improvements in efficiency with hybridization and thirdly, emission-free driving with batteries or the fuel cell. These technologies offer tailor-made solutions for the wide variety of customer requirements, and therefore provide the basis for the individual mobility of the future.

Source: Daimler AG

Mr. Vance Van Petten took the keys to the very first Mercedes-Benz B-Class F-CELL vehicle available to U.S. customers during an official hand-over at the newly renovated dealership of Fletcher Jones Mercedes-Benz in Newport Beach.

Van Petten, Executive Director of the Producers Guild of America, said, “As a long-time environmental advocate and supporter of sustainable production and eco-friendly transport, I’m thrilled to be driving a vehicle that I believe represents the future of environmentally thoughtful transportation — not only does it have zero emissions, but it also provides me with all of the safety technology one expects from Mercedes-Benz.”

Mr. Van Petten is part of a select group of people who are participating in a Mercedes-Benz lease program for the B-Class F-CELL Hydrogen car. As part of an initiative to further develop F-CELL vehicles and gain real-world experience in the United States, these vehicles will also be used to provide driving data to the Department of Energy (DOE) to support their Hydrogen to the Highways program. Due to the restricted number of Hydrogen fueling stations, Mercedes-Benz sought prospects for the F-CELL lease through its own survey and vetting process to determine who among the many applicants would become among the first to lease the F-CELL hydrogen vehicles.

Powered by an electric motor with 134 horsepower and 215 lb-ft of torque, the new B-Class F-CELL provides driving performance comparable to a similar conventional car while using about half the fuel. The car utilizes a fuel cell stack for generating electricity and a lithium ion battery for energy storage. Taking only approximately three minutes to refuel, The B-Class F-CELL emits only water as a by-product of the fuel cell system.
“The introduction of the F-CELL in California marks the beginning of zero emission Fuel Cell technology in the US for Mercedes-Benz,” said Sascha Simon, head of advanced product planning at Mercedes-Benz USA. “With a range of 240 miles that never needs to be plugged and more than 15 years of Mercedes-Benz research already committed to the technology, we believe this is a great addition to our fast growing portfolio of alternative fuel vehicles that customers can choose from to best suit their lifestyle.”

The F-Cell made an appearance this summer at the US Open Tennis Championships where Mercedes-Benz is the official vehicle. It played its part within the overall green fleet for VIP and player transportation, which also included Mercedes-Benz S400 Hybrid sedans. Alec Baldwin, this past tournament’s USTA green ambassador arrived at the tournament’s Opening Ceremony in the F-CELL.

Californians are no strangers to Mercedes-Benz eco-friendly vehicles including Hollywood’s elite. Individuals such as Demi Moore, Gerard Butler, Simon Baker, Toby Maguire and Katharine McPhee among others are choosing Mercedes-Benz because it offers safety and technology with solid environmental credentials without sacrificing luxury. These vehicles range from the S400 HYBRID luxury sedan to the ML450 HYBRID mid-size SUV. Also popular are the clean diesel BlueTEC sedans and SUVs like the E350 BlueTEC and the R, ML and GL350 BlueTEC.

Dr. Willi Reiss will be appointed as Dr. Haller’s successor as head of the plant with effect from January 1, 2011. Dr. Wolfgang Bernhard, member of the Board of Management of Daimler AG responsible for Manufacturing and Procurement Mercedes-Benz Cars: “In the name of the entire Board of Management, I would like to thank Eberhard Haller for his commitment and for what he has achieved for our company and the Sindelfingen plant, to whose development he has made a vital contribution. Under his management, the plant reinforced and expanded its position as a center of excellence for luxury Mercedes-Benz vehicles.”

Successful integration of new products at the Sindelfingen plant
Haller took over the management of the largest global production site of Mercedes-Benz Cars (MBC) in July 2003. Under his management, the Sindelfingen plant was further strengthened as a center of competence for MBC vehicles in the luxury segment, due among other things to the successful integration of new products such as the Mercedes-Benz CLS (2004) or, more recently, the Mercedes-Benz SLS AMG (2010). The core model series for the C-, E- and S-Class that are currently manufactured in Sindelfingen were launched on the market with great success during Haller’s time in the role.

From the start, these new runs were characterized by the very highest quality, with a number of external awards in recent years confirming the Sindelfingen plant’s position as the best in its class. With the J.D. Power Platinum Plant Quality Award in 2008, the site was recognized as the best automotive production plant in the world. In 2009, Quality Management for the C-Class in Sindelfingen won the title of “Factory of the Year”, and the plant was again voted among the top three in its industry in Europe in 2010 with the J.D. Power Bronze Plant Quality Award.

Haller’s management also saw the systematic development and implementation of continuous improvements to workflows and further quality optimization at the Sindelfingen plant, particularly in the press shop, body shop and paint shop.

Nearly 30 years with Daimler AG
After studying mechanical engineering at the University of Stuttgart, gaining his first professional experience at Robert Bosch GmbH and the University of Stuttgart/Fraunhofer Gesellschaft and graduating as a Doctor of Engineering (Dr. Ing.), Eberhard Haller (born in 1951) started his career with the then Daimler-Benz AG in 1983. After working in Planning and Central Work Design, he took over the management of the former Mercedes-Benz plant in Bad Homburg in 1992. Haller was then responsible for establishing the plant in Rastatt and the start-up of the new A-Class (until 1999). He followed this by being the manager responsible for establishing Production Planning at Mercedes-Benz before taking up his position at the Sindelfingen plant.

Dr. Willi Reiss to be appointed as successor
The successor of Eberhard Haller, Dr Willi Reiss, is in charge of the body shop operations at the Sindelfingen plant since 2006. Reiss (born in 1956) started his professional career in the cost planning department of the Sindelfingen plant in 1987 and stayed closely connected to this location for more than two decades by now. Due to an extensive experience and multiple assignments in the planning department as well as various areas of production, he has a broad knowledge along the whole value chain of automotive manufacturing.

Source: Daimler AG

This means that Mercedes-Benz also recorded strong growth last month compared to the prior year, even though sales had grown again in October 2009 for the first time following the crisis, particularly in the United States. A total of 954,400 Mercedes-Benz brand vehicles have been delivered to customers since the beginning of this year, up 16 percent over the figure for January to October 2009 (826,000 units).

Dr. Joachim Schmidt, Executive Vice President Sales and Marketing, Mercedes-Benz Cars: “We got the fourth quarter off to a successful start with a strong increase in sales. October marked the twelfth time in a row that we were able to record double-digit sales growth. Our success in Germany played a major role in this development. We attained a market share of 11.1 percent here, representing the highest level since October 2008. Worldwide, we want sales of Mercedes-Benz to record at least ten percent growth for 2010.” This is based on rising demand in the markets of Asia and the BRIC countries, the growth of Mercedes-Benz in the U.S., and attractive new products. The new generation of the R-Class and the CL, for instance, were well received by the customers in October: sales of the R-Class doubled compared to October 2009 and the CL-Class recorded double-digit growth.

Mercedes-Benz was successful in all regions in October. In Germany, Mercedes-Benz bucked the downward trend of the overall market (minus 20 percent) by increasing sales by 14 percent to 27,000 units (October 2009: 23,600). Mercedes-Benz thus gained more market share than any other premium automaker and clearly remains the strongest premium manufacturer in its home market. A total of five models were number one in their segment in the new car registration statistics from Germany’s Federal Motor Transport Authority (KBA): the S-Class, the E-Class coupe, the C-Class, the B-Class and the smart fortwo. In Western Europe, sales of Mercedes-Benz increased by three percent in October to 48,900 units (October 2009: 47,500). Mercedes-Benz succeeded in performing better than the total market for example in France, UK, Italy and Spain.

In China (including Hong Kong), Mercedes-Benz once again set a new sales record of 13,500 passenger vehicles (October 2009: 6,600), thus doubling its last-year result (up 105 percent). Growth since January is now at 122 percent. Mercedes-Benz continues to grow faster in China than its competitors in the premium segment. Mercedes-Benz is also picking up the pace in the other Asian markets, such as South Korea (up 42 percent), Australia (up 20 percent), and Taiwan (up 38 percent). Very high growth rates were also recorded in all of the other BRIC countries: Brazil (up 88 percent), Russia (up 58 percent), and India (up 65 percent).
Despite the high sales volume in October 2009, deliveries in the U.S. were up slightly last month (18,400 versus 18,200). A total of 178,100 passenger vehicles have been handed over to customers in the U.S. since the beginning of the year, 16 percent more than in the same period last year (January-October 2009: 153,600). Mercedes-Benz thus remains the German premium brand with the highest sales volume in its second-largest market since the start of the year. Mercedes-Benz also enjoyed another record month in Canada, where sales rose to 2,200 passenger vehicles.

From compact cars to SUVs, Mercedes-Benz grew in all product segments in October. Sales of the S-Class sedan rose by 28 percent to 6,000 units, and retained the top position in its segment from January to October despite new models from the competition. The growth amounts to 29 percent since the start of the year. The new generation of the CL is also being very well received by the market, with sales up by 13 percent. The E-Class continues to be very popular as well, with the sedan and the estate leading their respective segments since January. Customer deliveries totaled 20,800 units, an increase of 17 percent over the previous year. Deliveries were up 52 percent in the first nine months of the year. The C-Class sedan also maintained market leadership from January to October and recorded a gain of 16 percent last month. The estate set a new record, sales were up 21 percent. Mercedes-Benz also set a new record for SUV sales, with 18,400 customers (up 22 percent) choosing a model from this segment in October. All model ranges recorded growing sales numbers: the GLK (up 27 percent), the M-Class (up seven percent), the R-Class (up 100 percent), the GL (up 28 percent), and the G-Class (up eleven percent). Sales of the A-Class and B-Class increased four percent over the previous year to 19,700 units.

A total of 7,900 smart fortwo were handed over to customers last month (October 2009: 9,300, minus 15 percent). Sales of the smart fortwo are being affected by strong declines in its market segment, particularly in the large smart markets of Italy, Germany, France and Spain. Nevertheless, the smart succeeded in gaining market share in many markets since the beginning of the year, including Germany and Italy. In Germany, October marked the eighth time in a row that the smart fortwo was the best-selling small car in its segment, which declined by 42 percent overall. The company expects to sell around 100,000 units of the smart fortwo in 2010.

Overview of sales by Mercedes-Benz Cars

Source: Daimler AG

Mercedes-Benz USA (MBUSA) today reported October sales of 19,076 vehicles, an increase of 4.9% for the month and up 20.1% on a year-to-date basis. 18,351 passenger cars, light truck vehicles and 725 Sprinter vans are included in this total.

Impressive gains continued in both the Mercedes-Benz passenger car and light-truck categories. The strongest performer for the month was the 9th generation E-Class with sales of 5,568, bringing the year-to-date total to 50,298 (up 53.3%). The popular and sporty C-Class followed with sales of 3,771 and the versatile M-Class SUV rounded out the top three volume performers with sales of 2,826 for the month.

Sales at the high end continued strong with sales of the flagship S-Class up 60.4%. Also showing strong gains for the month were the CLS coupe up 47.5% and the spacious R-Class crossover up 52%. The company also sold 59 of the newly launched supercar – the SLS AMG – bringing its year-to-date sales to 415. On a year-to-date basis, the company sold 184,431 new vehicles, an increase of 20.1 % over last year.

smart USA recorded 367 sales in October 2010. smart USA will showcase the 2011 smart fortwo to U.S. consumers for the first time at the LA Auto Show in November. The smart fortwo has an all-new interior for 2011, and with the addition of available state-of-the-art technology, new entertainment features, enhanced safety and two new exterior colors, it takes the urban mobility concept to a whole new level. Additionally, smart USA is preparing to start delivery of the smart fortwo electric drive to customers across the United States in the fourth quarter.

Source: Daimler AG

“This cooperation brings together two premium brands that continue to set new standards with their products. Both are synonymous with outstanding quality, creativity and fascinating design, and so complement each other perfectly. We are therefore delighted to have been able to join forces with Swarovski to bring this idea from our staff members to life in very tangible form”, comments Dirk Reimelt, project leader at Business Innovation.

The key design was developed jointly between Mercedes-Benz in Japan and Swarovski in Austria – specifically to suit Japanese lifestyle and fashion tastes. The long sides are both set with crystals, with a choice of pink or black available. The keys are individually and meticulously hand-crafted by Swarovski. This elegant lifestyle and fashion accessory is available to Mercedes-Benz customers in addition to the two standard keys at an additional cost of 367 euros. Following the pilot phase in Japan, it will be checked if the project could be extended to other markets.

Source: Daimler AG

From December, production of the E-Class and S-Class will make use of new xenon burners from the company Osram, featuring a colour temperature which has been increased by some 20 percent. Achieving a figure of 5000 Kelvin, the new xenon light is even closer to daylight and is therefore even brighter – a clear innovation, in the true sense of the phrase.

This light colour is in keeping with normal human perception patterns, and as such conveys an impression of greater brightness to the eyes, thus reducing the strain on the driver. Studies have shown that the closer the colour of artificial light comes to daylight, the less the strain on the eyes. This is a crucial safety benefit, especially if we take into account that only 20 percent of journeys take place at night – yet it is when 40 percent of fatal accidents occur.

After the E-Class and the S-Class, further Mercedes-Benz model series will be gradually fitted with the new xenon burners in 2011. All previous Mercedes-Benz vehicles equipped with xenon headlamps can also be fitted with this additional safety feature, as the new xenon burners will be available from branches and dealers as Mercedes-Benz original parts.

Source: Daimler AG

With the electrified A-Class, Daimler aims to gain experience concerning the integration of battery-electric drives into four-seated vehicles and the use by customers in order to consistently apply this technology to other models in the future. A total of 500 locally emission-free vehicles based on the current A-Class will be manufactured at the Rastatt site. Thanks to its maturity in life cycle and to its conceptual construction, the current A-Class model is the ideal basis for an all-electric vehicle for the city, urban and interurban areas. The vehicles will be leased with a full-service rent model to selected customers in various European countries, including Germany, France and the Netherlands.

Based on the current A-Class, the family five-seater with battery-electric drive system is suitable for daily use and offers a spacious and flexible interior and luggage compartment. As the batteries are located extremely well-protected and in a space-saving way underneath the vehicle floor, no compromises were necessary to achieve this. Its two high-performance lithium-ion batteries give the car a range of more than 200 km (NEDC). The necessary traction is provided by a quiet-running, locally emission-free electric drive with a top performance of 70 KW (95 hp) and an impressive 290 Nm of torque.

The production of the A-Class E-CELL will be integrated into the series production line for the A-Class in Rastatt. For the electric A-Class, Mercedes-Benz applies all the development and production standards of series production to an electric vehicle with battery-electric drive system. All electrical components meet the high standards in terms of quality, reliability and service life that are self-evident for Mercedes-Benz.

In terms of production, only minor adjustments have been necessary in order to integrate the A-Class E-CELL: as an example, new consoles for fixing the lithium-ion batteries were provided in the floor structure of the current A-Class. No changes to the bodywork structure were necessary. Assembly, including the pre-assembly of major components and the so-called ‘marriage’, the fitting of the drive train into the carriage, take place within the standard production line for the A-Class. Only the assembly and commissioning of the innovative lithium-ion batteries is undertaken at a separate station. Every A-Class E-CELL is then guided back into the standard A-Class production line for chassis dynamometer testing, rain test, final inspection and finish.

Particular attention is paid at the plant to the qualification of staff. Ever since Mercedes-Benz is producing high-voltage systems for standard-production vehicles, such as those installed in the S 400 HYBRID, the B-Class F-CELL or from now on in the A-Class E-CELL, all staff members involved have undergone training programmes specifically fitted to the work with high-voltage technologies.

“We have perfectly prepared our staff for working with these new, alternative technologies. Over the course of several training modules, they have been able to gain the essential qualifications for their future tasks. We are thus able to ensure that they are absolutely ready to work with high-voltage components”, underlines Uwe Reich, Project Manager for the production of the A-Class E-CELL. Step by step, employees have been able to familiarise themselves with the necessary safety measures on the vehicle, the high-voltage components and on the installation of high-voltage systems. A central training production line within the Rastatt plant allows staff to put into practice what they have learned and to prepare them for their future responsibilities on the standard production line.

Between 2009 and 2012, Daimler AG will be investing some €600 million in extending the existing facilities and in building a new bodyshell work hall at the Rastatt plant. A further €10 million will be invested into the modification and updating of the paint shop. These investments underline once again Daimler AG’s commitment to sustainability and to the significance of the Rastatt plant as a centre of competence for compact vehicles.

Source: Daimler AG

More than 2,000 employees, political officials, and businesspeople took part in the ceremony at the plant and witnessed the official handover of the milestone vehicle to the Berlin Landesverkehrswacht traffic safety organization. And there’s something extra special about this milestone: That’s because the one millionth commercial vehicle from Ludwigsfelde is equipped with the one millionth engine produced at the nearby Mercedes-Benz plant in Berlin.

“Our plant has had a very eventful history and things have not always been easy,” said Michael Humpert, Plant Manager and Managing Director of Mercedes-Benz Ludwigsfeld GmbH. “That’s why we are particularly happy that we can jointly celebrate this production milestone today. I would therefore like to thank our employees for their dedication.”

A brief film clip was shown during the ceremony enabling the guests to relive the plant’s 45-year history. In his address, Mayor Frank Gerhard of Ludwigsfelde congratulated the plant and highlighted the facility’s great importance for the region. Further speakers were Dr. Heinrich Weiss, Head of Production at Mercedes-Benz Vans and a former manager of the plant, and Lothar Heinzmann, a former director of the IFA combine. Seven vehicles were exhibited during the celebration as representatives of all the various model series that have been produced in Ludwigsfelde to date.

Milestone vehicle to be used for a good cause
Then Plant Manager Michael Humpert and Thomas Uhr, Plant Manager of Mercedes-Benz Engines Berlin, presented the one millionth commercial vehicle to Hans Zucker, President of the Berlin Landesverkehrswacht organization. The Sprinter will support the latter by doing its work at schools and events. For more than 60 years now, the volunteers at Berlin Landesverkehrswacht have been helping all road users to become more safety conscious. One of the organization’s main tasks is to educate children concerning road traffic.

Ludwigsfelde plant has eventful history
Ludwigsfelde has a long industrial tradition. Back in 1936, Daimler-Benz built an aircraft engine plant in the city’s Genshagen district. After the plant was destroyed in World War II, the remaining machines were disassembled. A publicly owned industrial facility was established at the site in the 1950s, and construction of an automotive plant commenced in 1965. At this time, the facility also started series production of two IFA commercial vehicle models: the W 50 and L 60.
Around 600,000 of these trucks were produced before German reunification. The first Mercedes-Benz van (an LN2 model) rolled of the line in Ludwigsfelde in early 1991. Daimler-Benz AG took full possession of the plant in 1994. Series production of the Mercedes-Benz Vario commenced in July 1996, and the van is still being produced in Ludwigsfelde. The market launch of the Mercedes-Benz Vaneo in spring 2002 strengthened the plant’s position as one of the biggest employers in the Brandenburg region. The compact van was manufactured at the site until 2005.

Since 2006, the Ludwigsfelde facility has been producing the current Mercedes-Benz Sprinter model – as does its sister plant in Düsseldorf. A completely new manufacturing line containing state-of-the-art automated production equipment was constructed for the model at the Ludwigsfelde plant. Altogether, more than €300 million has been invested in machinery and buildings for the project at the plant.

The Mercedes-Benz plant in Ludwigsfelde has more than 2,240 employees, of whom 174 are trainees.

Source: Daimler AG

“The growth recorded by Mercedes-Benz in August marks a continuation of the current positive trend,” says Dr. Joachim Schmidt, Executive Vice President Sales and Marketing, Mercedes-Benz Cars. “We boosted sales in nearly all the regions we operate in and also posted strong growth in August in Germany, which is our biggest sales market. We expect sales to continue to develop favorably in the coming months as well. Worldwide, we want sales at Mercedes-Benz to grow at a double-digit rate in full-year 2010.” The brand’s growth continues to be driven primarily by the E-Class and S-Class, as well as by sales increases in China and the U.S. “We will be presenting a further highlight of our product range at the Paris Motor Show, where we will present the all-new generation of our styling icon, the CLS. The car will set new standards, thanks to its fascinating design, comprehensive range of safety features, and the new, fuel-efficient V6 and V8 BlueDIRECT gasoline engines.”

Mercedes-Benz recorded sales growth in its three main markets of Germany, the U.S., and China in August. Developments were particularly pleasing in the brand’s largest market, Germany. Here Mercedes-Benz bucked the overall downward trend (minus 27 percent) with a significant increase in sales of 17 percent, leading to total deliveries of 15,800 passenger vehicles to customers last month (August 2009: 13,500). The E-Class, the E-Class coupe, the C-Class, and the smart fortwo all had the largest number of new vehicle registrations in their respective segments in Germany.

The United States remains the second biggest market for Mercedes-Benz, and thus a key contributor to the brand’s sales success. Sales in the U.S. rose ten percent last month, leading to customer deliveries of 18,800 units (August 2009: 17,100). Year-to-date unit sales for Mercedes-Benz in the U.S. now total 139,900 vehicles, up 18 percent compared with the same period last year (118,400). This result makes Mercedes-Benz the best-selling German premium brand in the country since the beginning of the year. Mercedes-Benz posted record sales of 2,100 vehicles in Canada, an increase of five percent compared to August 2009.

Mercedes-Benz also continues to perform well in the BRIC markets. The brand more than doubled its sales in China (incl. Hong Kong), achieving a 113 percent increase to 13,400 passenger vehicles (August 2009: 6,300). Sales growth in Brazil totaled 48 percent, while the brand increased its sales in Russia by 63 percent and in India by 91 percent. An extremely dynamic increase was recorded in the South Korean growth market, where Mercedes-Benz boosted sales by 188 percent to 1,600 vehicles. Sales in Japan were up 12 percent. A total of 23,000 customers purchased a car with the star throughout the entire Asia/Pacific region in August (up 73 percent).

Mercedes-Benz’ unit sales in the entire region of Western Europe increased eight percent to 29,000 vehicles last month (August 2009: 26,900). Significant increases in the region were recorded by the UK (up 37 percent), the Netherlands (up 46 percent), Sweden (up 45 percent), and Denmark (up 96 percent).
The E-Class and S-Class model series were the engines of growth once again in August, with sales of the E-Class sedan and estate increasing by 38 percent. While sales of the E-Class sedan rose by 25 percent to 15,700 units, sales of the estate almost quadrupled in August compared to the same month last year (up 286 percent). A total of 5,100 customers bought an S-Class sedan (August 2009: 3,600), representing an increase of 41 percent.

The C-Class also recorded sales growth in August, with 18,900 C-Class sedans delivered to customers (up 21 percent). A total of 4,400 estates from the current C-Class model series were also delivered in August (up 27 percent). The SUV segment also posted growth, with sales totaling 14,500 units (up 13 percent). The GLK recorded deliveries of 6,200 units, an increase of 35 percent on the figure for August 2009.
The A-Class and B-Class also performed well in August, with deliveries increasing by 18 percent to 12,100 units.

A total of 5,800 smart fortwo were sold last month (August 2009: 7,000) representing a decrease of 18 percent. However, the company expects demand for the innovative two-seater to pick up again, when the new generation of the smart fortwo will be launched on the market on October 2nd.

Overview of sales by Mercedes-Benz Cars

Source: Daimler AG

“The C-Class is our best-selling production series and therefore of great importance for Mercedes-Benz,” said Dr. Joachim Schmidt, Executive Vice President Sales and Marketing, Mercedes-Benz Cars. “We are therefore especially pleased that the vehicle is so popular with our customers. In June the sedan was the best-selling vehicle in its comparative class worldwide. Despite last year’s weak market environment, sales of the sedan are currently four percent higher than those of the predecessor model during the same period since its market launch. The estate has also met with an outstanding response, with deliveries increasing by 20 percent in June.”

Over 840,000 sedans and more than 160,000 estates have been sold since the vehicle was introduced. The current C-Class is therefore continuing the success of the previous C-Class generation: Around 1.9 million customers bought sedans and estates of the previous model series during the model’s life cycle. Mercedes-Benz has sold more than eight million vehicles in this segment since the first C-Class was introduced back in 1982.

The United States is the largest market for the C-Class sedan, accounting for 25 percent of total sales. The next-largest markets are Germany and China. A total of 29,600 C-Class cars were sold in the U.S. during the first half of the year, representing an increase of 15 percent on the same period last year. Deliveries totaled 14,300 units in Germany, while 12,100 customers bought a C-Class sedan in China during this period. Sales of the C-Class sedan rose by six percent worldwide during the first half of the year, to 120,300 units. The estate has also met with a great customer response, with deliveries substantially higher in nearly all markets in June 2010 compared to June 2009. The increase amounted to six percent in Germany, which is the largest market for the estate, while sales rose by 19 percent in Western Europe as a whole and by 47 percent in Japan, which is the fourth-largest market.

One of the main reasons why the C-Class has won over so many customers is its outstanding efficiency. In fact, Mercedes-Benz is now installing the state-of-the-art ECO start-stop function into the C-Class’ C 180 CGI BlueEFFICIENCY and C 200 CGI BlueEFFICIENCY models in connection with mechanical six-speed transmissions. The start-stop feature reduces the four-cylinder engine’s fuel consumption and CO2 emissions by up to ten percent. And thanks to gasoline direct injection, the engine has a higher output than the predecessor models. The most popular engine variant of the C-Class, the C 220 CDI BlueEFFICIENCY, will also be available with the ECO start-stop function and six-speed manual transmission in the future. The vehicle, which is already very fuel-efficient and environmentally friendly, will then consume only 4.4 liters of fuel per 100 kilometers, or 0.4 liters less than is currently the case. What’s more, it will also cut CO2 emissions from 127 g/km to 117 g/km.

The new C-Class also offers other advantages besides the new efficient drive systems. According to a recent J.D. Power and Associates study in Germany, the car ranks at the top of its comparative class, boasting the most satisfied customers overall when it comes to quality, reliability, attractiveness, service, and maintenance costs.

Source: Daimler AG

On 27 July 1960 the Supervisory Board had authorised the acquisition of premises covering an area of 1.5 million square metres, although the acquisition remained largely unmentioned until the Annual Report of 1962: “Cabs for all truck models in the Mannheim and Gaggenau programmes are to be built at a new production facility, scheduled for completion in late 1963,” ran the succinct report. Then another year passed before the Annual Report of 1963 offered an idea of the scale of the new plant. “At Wörth a. Rh. we have at our disposal sufficient reserves of real estate to enable us to create the facilities necessary to increase in the future our commercial vehicle production, with a view to expanding and improving the structure of our operations.”

What was being referred to here was a restructuring of truck production – at the time restricted to Mannheim and Gaggenau – in line with passenger car production (where responsibilities were shared between Sindelfingen and Untertürkheim), with central assembly taking place in Wörth, and Mannheim and Gaggenau taking care of supplying the major assemblies (engines from Mannheim, axles and transmissions from Gaggenau).

The aim here was to achieve cost benefits generated by highly rationalised large-scale production, which in turn would serve to boost overall truck sales considerable and ultimately secure for the company nothing less than the leading position worldwide for trucks of over six tonnes GVW. The Group’s strategy at this time was to concentrate on the luxury-class passenger cars and to establish a presence where trucks were concerned as a full-range and mass producer.

This realignment of commercial vehicle strategy had become necessary as a result of the discontinuation of CKD (completely knocked down) deliveries to Brazil, India and Argentina; thus the only way to ensure utilisation of capacities in domestic plants was by developing new markets. But the key to success on the international market was Wörth. For Wörth meant large-scale production across the board and thus cost reductions that would benefit competitiveness on the global market.

The Annual Report of 1965 put it as follows: “By developing the Wörth plant, truck production will be brought into line with the same principle that has proved effective for many years in passenger car production – the separation of major assembly production and vehicle assembly. This approach means that production can be rapidly adapted to meet market requirements and that greater cost benefits of large-scale production can also be realised.”

It was a double premiere that was staged at the new Wörth plant on the River Rhine on July 14, 1965. Not only did the first completely assembled truck come off the production line, decorated with flowers and attended by the plant management. The launch of the Mercedes-Benz LP 608 also marked Daimler-Benz’s entry into the light-duty class, a big step on the company’s way to becoming a full-line producer.

In both respects, things went extraordinarily smoothly. In its first two years in production, the LP 608 cab-over-engine truck reached an impressive market share of 45 percent with a total of 10,000 units produced. It was the originator of the LP truck class ranging up to the LP 1113, and this series was to remain in production for a good 20 years and record a total volume of some 200,000 units.

Europe’s largest truck plant in next to no time
The Wörth plant, in its turn, being the central European production facility for trucks, developed into Europe’s largest truck plant in next to no time and continues to occupy this rank today with production figures that speak for themselves: since July 1965, the Wörth plant has turned out about 3.3 million trucks.
It all began on a much more modest scale and with a workforce of less than 100 employees. Wörth began producing truck cabs as early as October 1, 1963. Initially, however, the plant merely supplied primed cab shells for completion at the traditional locations, Gaggenau (heavy-duty trucks) and Mannheim (medium-duty trucks). In the first year, the Wörth plant produced over 22,000 cab shells. From December 1964,
in-house manufacture was stepped up in that the interior equipment was also installed and the cab shells were painted at the new plant, starting with the cabs of the 314 model.

Centrally located between Mannheim and Gaggenau
Even geographically, Wörth seemed predestined to adopt the role as central plant. The new location, occasionally also referred to as Wörth Island, was ideally situated between the plants in Gaggenau and Mannheim, which had reached the limits of their combined capacity – 40,000 trucks annually – during the period of the economic miracle in Germany. The new plant, located in a former loop of the River Rhine, was required to overcome bottlenecks. The ground-breaking ceremony on the 1.5 million square kilometre site was held in March 1962.

It had been impossible to foresee the enormous development that would take its course on the premises acquired from the municipality of Wörth back in 1960. Initially, nothing more than an engine plant had been planned. But then in 1963, Daimler-Benz restructured its production activities, concentrating engine and bus production in Mannheim, and Unimog, axle and transmission production in Gaggenau.

It was not until 1964, however, that the final decision was made to unite all truck production and final assembly activities in Wörth. Other facets of the division of labour within the company at the time were as follows: Mannheim would not only continue producing truck engines but also retain bus production; Düsseldorf was to concentrate on all van models up to four tonnes (later up to six tonnes); Berlin was to assemble complete passenger car, truck and industrial engines and supply vehicle parts; Sindelfingen manufactured passenger cars, and Untertürkheim produced a diversified range of engines; and Gaggenau supplied axles, transmissions and individual components.

Full capacity utilisation reached as early as 1969
Initially the Wörth plant had been constructed for an annual capacity of 48,000 trucks. This volume was reached as early as 1969. Despite the first minor post-war recession in 1966/67, everything ran like clockwork: 800 trucks left the factory in 1965. Production of the LP 608 had been relocated completely from Mannheim to Wörth by the end of that year. Production of medium-duty trucks and CKD (completely knocked down) shipments to assembly plants all over the world began in 1966.

What was once conceived as an engine plant was now itself the motor for the industrialisation of the commercial vehicle business. A glance at the export quota for the domestic plants reveals the extent to which exports were growing during the period: export figures for 1960 were 35.8 percent, rising to 41.7 percent in 1966 and 47.2 percent by 1969.

With the addition of the administrative building, training workshop and staff restaurant, the plant was gradually completed, with the new assembly hall at its heart. At a length of 750 metres (today 1,000 metres) and a width of 50 metres, this was ranked as one of the largest automotive assembly halls worldwide. The fact that both series were produced on one and the same line was seen at the time as a drawback, but it would ultimately prove a blessing. Production was extremely flexible from the very start. Although trucks were not given names at the time, commonly used designations such as “light-duty Wörther” or “heavy-duty Wörther” made clear reference to the vehicles’ origin.

Next target: 100,000 units annually
From 1969 onwards, Daimler-Benz raised the capacity of the plant step by step. The aim was to produce 100,000 units annually. The factory was extended twice until this target was reached – with exactly 105,200 units coming off the production line in 1975. Long before this point in time, Daimler-Benz had relocated the replacement parts warehousing facilities from Gaggenau and Mannheim and concentrated all relevant activities at the central parts warehouse in Wörth, which started operations in 1972. From 1973, Wörth produced the heavy-duty New Generation trucks which had been systematically designed according to the modular principle. Ten years after production start-up, the 500,000th truck left the plant – by which time around 8,700 people were employed on the island in the River Rhine.

All the while, the proportion of plastic components in motor vehicle manufacture had been rising continuously. It was therefore only logical for Wörth to launch activities in this sector as well. The job of moulder was added to the wide spectrum of professions represented at the plant when, in 1977, Wörth assumed responsibility for the production of plastic components for both passenger cars and trucks. The production of aerated-plastic parts for passenger cars also migrated from Sindelfingen to Wörth.

In the 1980s the New Generation was replaced by the NG 80 and the oldest generation of vehicles from Wörth was discontinued. From 1984, the light-duty LP vehicles were replaced by the LK (Light Class) series with permissible gross weights between 6.5 and 13 tonnes and serving this segment with as many as ten basic models, from the 709 through to the 1320. Distinguishing visual features of the new series were slanting side windows – a design first introduced on the TN vans.

Four years later, the NG 80 models in the heavy-duty class were replaced by the legendary SK series, now also with slanted side windows, which remained in production as the New Generation’s grandchildren until 1996. In was at this time, too, that the parts warehouses in Wörth and Sindelfingen gradually reached their limits of capacity. As a consequence, the entire replacement parts business was relocated to a new central parts warehouse in Germersheim near Wörth, which entered service in 1989.

Manufacturing more flexible than ever
Production also changed fundamentally. Conventional automating concepts were no longer suitable for coping with the increasingly complex tasks (permanently growing number of variants and fluctuating unit figures). Under the slogan “Body-in-white production 2000”, a facility that permitted maximum integration was built in 1992 for the welding of all cab versions. The idea of a flexible body-in-white production facility had been born.

The procedures for fitting out the cabs also proved capable of improvement. Optimized production processes and material flows characterized the newly organized unit, which started operations – more effectively and more flexibly than ever before – in 1995.

Change-over to Actros production in record time
This created the best possible conditions for the start of the new Actros heavy-duty truck, which followed in the tracks of the SK in 1996. The change-over of production facilities to this heavy-duty truck, newly designed from the ground up, was completed in record time. But that was not all. In 1997, the LK and MK series were replaced by the new light-duty and medium-duty trucks from the Atego series. In 1998, the Atego line-up was complemented by the addition of the heavy-duty Atego – a combination of Actros chassis and Atego cab.

From 2002, the Wörth plant also produced the new heavy-duty Axor truck, designed for particularly high payloads in medium-duty long-distance transport as well as in heavy-duty short-radius distribution. Also, in August 2002, Unimog production moved from Gaggenau to Wörth. At the same time, the plant prepared itself for production start-up of the second-generation Actros (from January 2003); that same year, Wörth also assumed responsibility for the production of the Econic, the municipal specialist vehicle. The third member of the family produced at Wörth was the off-road specialist Zetros, which Mercedes-Benz unveiled at the IAA in 2008.

Capacity for over 110,000 units
Today, at peak periods some 110,000 complete units come off the assembly lines of the Wörth plant annually, now enlarged to an area covering 2.4 square kilometres and employing over 11,000 people. In the record-breaking year of 2008, for example, the number of trucks built – in what is an extremely complex production process – totalled 113,000. For the Actros, construction Actros, Axor and Atego models alone there are around 500 cab designs and more than 2,400 special variants.

It helps, of course, to have key suppliers and their manufacturing facilities located directly on plant premises. The Wörth industrial estate covers an area of approximately 5,000 square metres and accommodates half a dozen companies which do their manufacturing on site (e.g. seats and bunks) before delivering directly to the production line.

In total the plant works with approximately 1000 suppliers. Around half of all parts are supplied either “just in time” or “just in sequence”. Work on the production line has changed radically over the years. Today the various groups in the production process organise every aspect of their work themselves, including scheduling of holidays. Employees across all shifts manage their individual working times at the site, placing fundamental importance on transparency. Large displays keep each group involved in production constantly up to date regarding agreed objectives such as quality key performance indicators, audit results and the number of work days lost due to illness.

Robots of astonishing flexibility
Another symbol of optimised flexibility is the plant machinery – for example, the robots that are used in body-in-white cab production. Each production cell can build any cab from the extremely broad range in any sequence. The individual components are supplied by driverless transportation systems – making this process unique in automotive construction worldwide.

Since 2007 the plant has no longer been known simply as “Werk Wörth” but as “Mercedes-Benz Wörth”. At the Group’s extraordinary general meeting the decision was taken to rename the plant as part of the renaming process from DaimlerChrysler AG to Daimler AG. Henceforth all production locations turning out components or vehicles for the Mercedes-Benz brand now traded under the Mercedes-Benz name. At the same time as the plants were renamed, the truck division at Daimler AG also changed its name: the Mercedes-Benz brands, Freightliner, Western Star, Thomas Built Buses and Mitsubishi Fuso were all subsumed under the Daimler Trucks (previously: Daimler Truck Group).

Daimler Trucks now intermeshed development and production operations closer than ever. For Mercedes-Benz Wörth this meant the setting up of a new Development and Test Center (EVZ), which began operations in 2008. The Group invested around 80 million euros in the new facilities, which comprised three elements: an indoor test area with numerous rough and potholed tracks and 14 different track profiles, a function testing area in the form of a test track, and thirdly a workshop area and office complex. In total the new EVZ employed a workforce of around 300 people.

Attractive offers for all truck needs
Although the work of the Development and Test Center takes place largely out of public view, this does little to diminish the fundamental openness and friendliness of the plant itself. Visitors still come in their thousands to take guided tours of the plant. And an even larger number of visitors head for the Customer Center to collect their new truck. The former “self-collection hall” has long since developed into a state-of-the-art Customer Center, where customers can not only collect their new trucks but also receive instruction about its engineering.

For some time now the Center has also offered drivers and visitors special truck seminars and driver training courses. Although the themes focus mainly on safe and economical driving, training is also available on specific themes relating to the motor vehicle and transportation industries. Since 2009 Wörth has also become a venue for further training courses, which truck drivers are now regularly required to attend in line with the law on professional driver training.

Application Information Center – a globally unique facility
Dedicated to various individual sectors of industry, the Application Information Center (BIC) opened its doors in 2000 – the only institution of its kind worldwide that not only provides customers with sound advice but also permits direct comparison of many complete packages for individual industrial sectors on site. Numerous different Actros, Atego, Axor, Econic and Zetros models complete with superstructures and equipment are available here for comparison and testing.

Source: Daimler AG

The Rastatt plant was officially opened in May 1992 by the German Chancellor Helmut Kohl. Initially E-Class vehicles were produced here by a workforce of 1700, starting with the W 124 series and then until 1996 the W 210 successor series. Series production of the A-Class (W 168) then began in summer 1997 – Rastatt became the main location for production of this new Mercedes-Benz series that rounded off the lower end of the product portfolio. During its production period from 1997 to 2004 it achieved sales of over 1.1 million units. That same year, 1997, the company also opened the Mercedes-Benz Customer Centre in Rastatt.

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Here customers could collect new vehicles in person, take a guided tour of the factory and visit exhibitions covering a wide range of automotive themes. A variety of events were also staged at the Customer Centre.
The decision to adopt Rastatt as a location was not an easy one, since several cities had shown interest in accommodating the plant, which in its first development stage promised jobs for 5,500 employees.

Discussions extended to locations in France, the United Kingdom and the Czech Republic; in addition, concerns about the Rastatt site were raised by environmentalists. So not only did the decision have far-reaching economic implications, it also had a political impact at both the regional and federal levels. Particularly as the new plant would have significant symbolic value for Germany as a production location – at issue here was the creation of a profitable car production facility in a strong business environment. But ultimately the decision went with Rastatt and Daimler-Benz called the new passenger car assembly plant a “milestone for automotive production of the future.” In total the company invested DM 2 billion in the location at the time.

In three initial phases the company created one of the most advanced production facilities in the entire automotive industry, a complete assembly plant, including assembly lines, paint shop and body shell shop, which expanded the strategic and operational options for passenger car production for the Mercedes-Benz brand. As such, therefore, the factory was a model for all other plants and made a decisive contribution to safeguarding the company’s competitive edge over its competitors in the long term, as was stated in a brochure published to mark the plant’s official opening. New production technologies, new working time models, new forms of labour and new environmental protection concepts were implemented in order to achieve state-of-the-art automotive production. Future expansions ensured the plant was always up to date.

The location was chosen with great forethought. For the new plant was largely to be part of a closely integrated production network (“Südschiene”), similar to the one that has proved so effective in producing the compact class over the years between the plants at Bremen and Sindelfingen (“Nordschiene”). The aim of integrated production was to achieve optimised production workflows across respective plant boundaries by implementing commonsense approaches to labour division. This was documented by parts supplies from the five sister plants at Gaggenau, Sindelfingen, Untertürkheim, Hamburg and Bremen.

Production start-up for the A-Class (168 series) also saw the relocation of individual suppliers to the plant premises. The so-called industrial park accommodated various companies which used conveyor bridges and conveyor technology to supply components for both A and B-Class directly to the assembly lines. This “just in sequence” supply approach cut down on delivery transport and reduced warehousing times. Partners on the industrial park supplied over 50 percent of all parts for assembly. Components for vehicles produced in Rastatt came from 330 suppliers in total. Thanks to a rail line on the plant premises, 75 percent of all freight could be delivered by rail directly to the production hall.

From 2000 onwards the company then invested around 900 million euros in the Rastatt site for production start-up of the second generation A-Class (169 series) and the B-Class, including measures to expand the industrial park. The main expansion phase for the plant began in 2002, its tenth anniversary year. By increasing the usable floor area by 160,000 square metres, over 60,000 square metres of which were earmarked for body-in-white production and painting, the company laid the foundations for production of a second model series, the B-Class (245 series). A new hall was constructed on the premises for final assembly of this series.

The Rastatt plant has now fully established itself. 2008 saw the two millionth vehicle from the A and B-Class come off the production line. The plant premises cover a total area of 1,473,000 square metres, 405,680 square metres of which are built on. Production capacity is around 250,000 vehicles per year. The plant employs a workforce of 5,500 employees (as of 31 December 2009).

Compact vehicles are now a regular component of the Mercedes-Benz product portfolio. The brand will in future offer four rather than just two models with a view to winning new customer groups and creating growth in additional markets. Three of these models will come off the production lines in Rastatt. The plant is gearing up fort his with an investment of 600 million euros. In addition to existing buildings, preparations include construction of a further production hall for body-in-white production. The first vehicles of the successor generation of A and B-Class are scheduled to come off the production lines in Rastatt in late 2011.

Source: Daimler AG

Dr. Joachim Schmidt, Executive Vice President Sales and Marketing, Mercedes-Benz Cars: “In June we succeeded in boosting our sales by a double-digit percentage for the eighth time in a row. With growth of 15 percent, we successfully mastered the first half of the year. Compared to last year, our sales were up in every region, the main growth drivers were the E- and S-Class. We are also in an excellent position to do well in the months ahead and plan to continue Mercedes-Benz’ success with a significant increase in the third quarter.” The basis for this remains above all the E-Class and S-Class as well as the positive development of Mercedes-Benz in its two biggest foreign markets, the United States and China.

A key factor for the record-breaking sales in June was the rapid growth in China, where Mercedes-Benz was the premium brand with the strongest growth. Last month 13,700 passenger cars (June 2009: 4,900) were sold in the country, a sales increase of 177 percent. During the first six months of the year sales rose by 120 percent to 60,500 units (2009: 27,500). In the other BRIC countries – Brazil (plus 73 percent), Russia (plus 76 percent) and India (plus 83 percent) – a growth rate in the high double digits was recorded last month. This applies accordingly for the first half of the year. In the Asia/Pacific region, sales in Japan climbed by 27 percent last month, and by 15 percent in the first half of the year. In South Korea, Mercedes-Benz was able to more than double sales in June (plus 174 percent) and also during the first half of the year. Since the beginning of 2010, Mercedes-Benz has also posted strong sales increases in Australia (plus 22 percent) and in the World Cup host country, South Africa, (plus 23 percent).

Also contributing greatly to the improved sales results was the continuing strong demand in the U.S., where Mercedes-Benz was the fastest-growing premium brand in June. Sales rose by 21 percent to 18,300 units (2009: 15,200). Sales in the first half of the year totaled 103,700 passenger cars (2009: 85,100), an increase of 22 percent. Mercedes-Benz has thus been the German premium brand with the highest sales volume in the U.S. since the beginning of this year. In Canada, sales of Mercedes-Benz passenger cars totaled 14,300 units (2009: 12,000) since the beginning of this year, a 19 percent increase on last year’s result.

In Western Europe (not including Germany) sales in the first half of 2010 were up seven percent to 152,300 units (2009: 142,900). Sales growth was for example recorded in the UK (plus nine percent), Spain (plus 12 percent), the Netherlands (plus 26 percent), and Portugal (plus 42 percent). Sales figures in June were particularly positive in Italy, where sales increased by 18 percent.

In June, Mercedes-Benz increased its market share in Germany. With the highest market share in the premium segment, it remains the strongest brand on the domestic market. In the first half of 2010, in a sharply decreasing overall market, a total of 122,500 passenger cars (2009: 131,000) were delivered to customers (minus seven percent).

Among the model ranges, growth in the first half of 2010 was driven mainly by the E-Class and S-Class. The E-Class sedan continues to be the Number one in its segment, posting a 62 percent increase in sales during the first six months of 2010, to 101,700 units. Compared to the same period last year, more than twice as many units of the new estate were delivered to customers (plus 124 percent). Thanks to growth of 29 percent, sales of S-Class sedan reached 30,500 units. In June, the sedan was the market leader in its segment, and posted a 51 percent sales increase. With the market launch of the new generation of the CL-Class at the beginning of July, the S-Class adds an attractive member to its model family. Sales of the C-Class sedan and the estate rose by five percent in the first half of the year. The C-Class sedan also led the way in its segment in June. In the SUV segment, Mercedes-Benz increased its sales by ten percent in the first six months of the year.

A total of 9,600 (June 2009: 11,000) smart fortwo were delivered worldwide in June (minus 13 percent). The company expects that the model update, which will be presented to the media for the first time in July, will give sales a boost.

Source: Daimler AG

“The Berlin engine plant has been a vital part of Berlin’s industrial landscape and a key player in the business community for many decades,” observed senator and mayor Harald Wolf. “We look forward to a continuing positive impact on the region.”

“Although this is the oldest plant in the Daimler Group in historical terms, the magnificent enthusiasm and commitment of our workforce has kept it young and dynamic,” added plant manager Thomas Uhr.

Thomas Uhr presented the anniversary engine to Michael Humper, manager of the nearby Mercedes-Benz van plant in Ludwigsfelde, where the engine will be installed in the one millionth commercial vehicle to be produced at the plant. The children from the Berlin plant’s “sternchen” crèche were also involved in the ceremony to mark the auspicious occasion, making and painting a papier-mâché wall which the anniversary symbolically broke through as it rolled off the production line. Before the official part of the ceremony, the guests had an opportunity to experience the production of V6 diesel engines at first hand, as employees from the plant took them on a guided tour of various stages of the engine production process.
Mercedes-Benz Sprinter for Landesverkehrswacht Berlin e.V.

At the ceremony, plant manager Thomas Uhr handed over a symbolic key to Hans Zucker, president of the Landesverkehrswacht Berlin e.V. This key stands for the millionth commercial vehicle from the Ludwigsfelde van plant – a Mercedes-Benz Sprinter fitted with the anniversary engine from the Berlin plant.

Landesverkehrswacht Berlin e.V. is a voluntary road traffic safety organisation which has been working to promote safety-conscious behaviour among all road users for 60 years now. A key area of its work focuses on road safety training and education for future generations. The Berlin plant has long been involved in promoting the development of children and young people and the new vehicle will support the Verkehrswacht’s work in this area.

Top-flight engines from Berlin
The V6 diesel engine has been produced at the Berlin plant since 2005. Since 2007 the plant has also been producing the BlueTEC variant of the V6 – one of the cleanest engines in its class. In the E 350 BlueTEC it has a power output of 155 kW/211 hp at a fuel consumption rate of 6.8 litres per 100 km and already meets the EU6 emission regulations which are planned for 2014. Production of the upgraded variant of the V6 diesel engine is currently starting up at the Berlin plant. It is being premiered in the new Mercedes-Benz R-Class 350 CDI 4MATIC, in which the six-cylinder engine combines the high performance of a V8 model with the low fuel consumption of an economical V6 variant. It offers a maximum power output of 195 kW (265 hp), while undercutting its predecessor’s NEDC fuel consumption level by 0.8 litres per 100 km.

Cutting-edge products from the plant
In addition to the diesel engines and the high-tech V12 engines, a new generation of transmission-integrated electric motors for Mercedes-Benz hybrid models will also go into production in Berlin in 2012. A shop offering 4000 m² of production space is currently being converted for this new field of production. In all, the company is investing around 40 million Euros in the development and production of the new engine, with half of this sum earmarked for facilities and equipment at the plant. A team of 50 will be concerned with the development and production of the new electric motors in the future.

Source: Daimler AG