Mercedes will open a new production plant in Hungary

Mercedes-Benz has recently revealed that it intends to expand its range of compact models, and to do so it has chosen a location on the outskirts of Budapest in Hungary called Kecskemét, where production will begin, shared with its German plant in Rastatt. The brand will invest more than one billion euros in their development, and they will create around 2,500 new jobs.

Dieter Zetsche, Chairman of the Board of Management of Daimler AG and of Mercedes-Benz, stated that these new models will follow the company’s philosophy by providing the quality, safety and comfort for which they are known, while also offering affordable compacts that are aware of the current oil situation. In addition, they will serve to attract new customer groups and expand into other markets.

This expansion of the smaller model range involves adding a couple of projects that Mercedes-Benz has alongside the current A-Class and B-Class: a small SUV aimed at taking the spotlight away from the BMW X1, and a possible smaller roadster/coupé than the SLK that has not yet been defined. These models would be equipped with the new four-cylinder diesel engines that Mercedes will present later this year.

Undoubtedly, this is a shrewd move by Mercedes now that this type of car is gaining prominence thanks to rising petrol prices, and it will be useful for filling the gaps in a line-up that was already more than generous to begin with.

Via | Carscoop