Mercedes-Benz 2020 growth strategy depends on production network increase

Mercedes-Benz 2020 growth strategy depends on production network increase

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Mercedes-Benz S-Class at Airbus in Hamburg (8)This month saw Mercedes-Benz unveil their new S-Class in Hamburg. An investment to the tune of €280 million is planned for production of new generation of automatic transmission in Romania. At Star Transmission, overall investment of €300 million is planned. Capacities are to be augmented due to high capacity utilization along with space constraints where Stuttgart is concerned while Romanian employees will be put through a special qualification program which will be initiated at the Untertürkheim parent plant. Here, employees will be exposed to quality, maintenance and logistics besides production areas.

Production of 5 speed automatic transmission will commence from mid 2013 from a new location in Sebes while from 2014 assembly of front dual clutch transmissions will commence. Following approvals from the Romanian government where the expansion of production capacities are concerned, a new generation of automatic transmission for vehicles is also being planned which will be produced from the new production networks at Stuttgart and Sebes from 2016.

Andreas Renschler, Member of the Daimler Board of Management for Manufacturing and Procurement Mercedes-Benz Cars and Mercedes-Benz Vans said “The expansion of our production network to include an additional location for transmission assembly is designed to perfectly complement our existing capacities. Our goal here is to serve the high customer demand with even greater flexibility in the future.”

Peter Schabert, Head of Powertrain Production and Head of the Mercedes-Benz Untertürkheim plant, said, “Star Transmission has been a reliable partner of our German powertrain locations for over 10 years. According to the current planning status and based on our excellent experience with Star Transmission, the preferred option for providing the additionally required assembly capacities in a flexible manner is to expand the activities there.” He added, “Our Stuttgart transmission plant will remain the heart of transmission production for Mercedes-Benz Cars and will act as the center of competence in this production network.”

Wolfgang Nieke, Chairman of the Works Council for the Mercedes-Benz Untertürkheim plant and Passenger Car Development said, “The plant management and works council agreed two years ago, to set up the production of the new automatic transmission and an assembly module at the Stuttgart-Hedelfingen location. The Board of Management thus reaffirmed its commitment to the in-house production of our transmissions. The second assembly module in Sebes will be supplied from our production location. The increased demand for transmissions ensures the long-term capacity utilization of our transmission production at the Stuttgart-Hedelfingen location.”