Mercedes Is Moving Production of the New G-Class Model to Hungary: What Are the Reasons?
3 July 21:15
Mercedes is relocating production of the new G-Class model. Mercedes-Benz will manufacture the future compact G-Class model not in Rastatt, Germany, as previously planned, but at a plant in Kecskemét, Hungary, according to UkrAvtoprom, as reported by "Komersant Ukrainian".
Following an investment of 1 billion euros, the plant in Kecskemét will become Mercedes’ largest production facility in Europe. The expansion will increase annual production capacity from 300,000 to 400,000 vehicles.
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In addition to the Mini-G, the plant will also produce the electric C-Class and GLB, as well as the A-Class with an internal combustion engine, whose production has been extended until 2028 and relocated from Rastatt.
The main reason for this potential choice is the opportunity to reduce costs. Mercedes has invested in the Kecskemét site in recent years and is expanding its capacity there. Meanwhile, the new compact SUV is set to hit the market in 2027 and, according to current information, will not be exclusively electric: versions with various powertrain types are expected.
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