27 September 2018_campuscad
German Automaker Mercedes-Benz is set to export its high demand GLC SUV to American market to fulfill the supply from next month. More than 2, 20,000 luxury vehicles by Mercedes sold from January to August 2018 and 3, 72,000 in 2017, all over the world.
Currently GLC SUV is manufactured in Bremen, Germany facility with annual production capacity of 4, 20,000 with 10 other models.
Mercedes-Benz has more than 30 manufacturing plants all over the world to supply premium luxury cars and SUV’s.
More than 45,000 GLC SUV sold out in American market till August 2018 and 48,643 GLC sold out in 2017 alone. To make sure vehicle supply continuous, Mercedes decided to start building GLC at Chakan plant near Pune, India.
Annual capacity of the Chakan plant is around 20,000 vehicles but flexible manufacturing and assembly lines made easy to make 9 different vehicles out of the same plant. Now to support the demand, GLC also get assembled in Chakan plant.
Mercedes invested more than INR 2200 Crore till date as it established its plant in 2009. additional investment of INR 160 Crore made to fulfill the GLC requirement. Automaker regains its number one spot in Indian luxury car market and sold almost 16,000 vehicles in last year.
India is a manufacturing hub for most of the international automakers but they only build vehicles here for Indian and Asian markets.
Ford has started manufacturing EcoSport SUV out of its Chennai plant and supply to American market. It has supplied around 1, 81,148 units to US from April 2017 to March 2018.
American President Trump already imposed 25% tax on vehicles imported from Europe and there is cold tariff war is going in between China and US. US imposed tax on more than $200 billion Chinese goods and want to suppress Chinese dominance in manufacturing and technology industry.
Mercedes might investigate other global options but for now decided to opt out Indian plant to build the GLC SUV.
India will be a viable option for global automakers to manufacture export quality vehicles and make huge profit out of it.
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