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Last updated on April 20, 2014 at 19:30 EDT

Nissan and Daimler to Produce Engines Together in North America

January 8, 2012

DETROIT, January 8, 2012 /PRNewswire/ –

In the latest step forward in the collaboration of the Renault-Nissan Alliance and
Daimler, Nissan’s Decherd, Tenn., plant will build Mercedes-Benz 4-cylinder engines for
Infiniti and Mercedes-Benz starting in 2014.

Nissan and Daimler 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).

For the full press release, go to: http://www.nissannews.com,
http://www.media.daimler.com or blog.alliance-renault-nissan.com
[http://blog.alliance-renault-nissan.com ]

Decherd plant b-roll is available on:
nissannews.com/pressrelease/1025/175/video-gallery
[http://nissannews.com/pressrelease/1025/175/video-gallery ]

SOURCE Renault-Nissan Alliance


Source: PR Newswire