Mercedes-Benz plans for multi-fold investments in Chakan production facility

Friday 16 March 2012, 11:48 AM by Vikas Yogi

With an increasing number of luxury automotive companies entering the highly potential and diversified Indian auto market, the country’s second largest luxury automobile brand, Mercedes-Benz has paced up the production of the cars in its passenger segment to cater to the huge demand of premium range passenger cars.

The auto giant, at present assembles its passenger cars and luxury buses at the plant located in Chakan but will also incorporate the assembly of A Class and B Class hatchbacks along with SUVs till their demand perks up. The existing production line-up at the Chakan plant is directed for the domestic luxury vehicles demands while the export production has not yet been initiated at this plant.

The huge investments to be incurred by the company also include the paint shop establishment at the Chakan facility to earn greater economy by eliminating the dependence on Tata Motors paint shop for their usage. As of now, Force Motors is another company in India with whom Mercedes-Benz has made arrangements for providing assembled engines and transmissions.

The commercial vehicles of Mercedes-Benz are manufactured at the Chennai unit where huge investments have been made for installation of highly advanced and innovative technology.

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