July 25, 2008

Daimler to Construct Mercedes-Benz Plant in Hungary

Daimler, the Hungarian government and the City of Kecskemet have signed a memorandum of understanding for the construction of a Mercedes-Benz plant in Kecskemet, Hungary.

This memorandum of understanding (MoU) will lead to a final contract being signed in autumn 2008 for the construction of the new plant for premium compact cars.

The Kecskemet plant will have a close production network with the plant in Rastatt, Germany. Daimler is investing around E800 million in total and will be creating up to 2,500 new jobs.

The vehicles of the successor generation of the Mercedes-Benz A and B classes will roll off the assembly line in Kecskemet from 2012. The MoU further includes agreements concerning the licensing procedure, acquisition of land as well as the development of the 400-hectare factory site.