Mercedes’ Chinese Joint Venture Built the 500,000th Car, a C-Class L

Beijing Benz Automotive Co (BBAC), the joint venture company between Daimler AG and BAIC Motor, has built its 500,000th car in China since 2006. About half of all production comes just within the last two years, a testimony of Mercedes’ rapid growth in the world’s largest car market.

The 500,000th locally produced Mercedes-Benz passenger car is a long-wheelbase C-Class model. In early 2015 the GLA-Class will become the fourth localized Mercedes-Benz model, and further compact car models will follow in the future.

“Going forward, we are determined to pick up the pace even more as we just signed a 1 billion Euro agreement with our partner for the localization of further compact car models. BBAC is undoubtedly on its path to become the largest Mercedes-Benz passenger car plant worldwide,” said Hubertus Troska, Member of the Board of Management of Daimler AG responsible for Greater China.

BBAC has built Mercedes-Benz passenger cars since 2006 and engines since 2013. Last year, the Beijing-based plant made around 120,000 vehicles, accounting for approximately one-half of Mercedes-Benz’s total sales volume in China.

By the end of next year, the figure is expected to grow significantly, as production capacities will reach well beyond 200,000 units. BBAC’s growth is backed by the two shareholders’ joint investment of €4 billion in the company through 2015.

About €400 million has been spent on the first ever Mercedes-Benz passenger car engine plant outside of Germany, inaugurated about a year ago. The facility produces 4- and 6-cylinder engines for locally produced passenger cars and vans built by Daimler’s local joint venture Fujian Benz Automotive Co. The plant has an annual capacity of 250,000 units for the first phase.


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