In April 2010, Renault-Nissan and Daimler, Mercedes-Benz’s parents, launched a “strategic collaboration” to further both brand’s market shares and technologies. Soon to benefit from the partnership will be the United States as the two companies have officially revealed one plan-of-attack from the venture. Located in the heart of Decherd, Tennessee will be the home of the next line of Mercedes-Benz four cylinder engines: Nissan’s powertrain assembly plant. Not only will the production mark the first German-branded engine built under the North American Free Trade region but it will create jobs for the American people.
“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 engine, an efficient four-cylinder, will find its way under the hood of both Infiniti cars and the 2014 Mercedes-Benz C-Class. Production will begin in 2014 with a projected annual output of 250,000 units. The midsize German sedan will be built at Daimler’s vehicle plant in Tuscaloosa, Alabama thus lowering the manufacturing cost for Mercedes-Benz. Dr. Dieter Zetsche, Chairman of the Daimler Board of Management and Head of Mercedes-Benz Cars said, “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.”
Source: Nissan