Nissan to provide engines for Mercedes-Benz
Mercedes-Benz and Nissan have joined forces in a deal which will see Nissan supplying engine for the German company.
The great for the automotive industry as it shows two of the world’s largest companies combining in what is a big money deal. Although the exact worth of the deal has not yet been unveiled, this type of deal doesn’t come cheap.
Secures and creates new jobs
It also secures plenty of jobs at Nissan’s engine factory located in Decherd, Tenn. The brand new project will essentially mean that are more engines to be made, keeping the need for many of the staff at the assembly plant. In terms of new jobs, Nissan have not officially stated how many will be made as of yet. Plans of when recruitment plans for the new staff will start has also not been confirmed.
Plans for Mercedes-Benz
The engines themselves are set to be placed within two brand new compact new sedans developed by Mercedes-Benz within the next two years. Four cylinder petrol engines for the German automotive giants have been sketched in for development at the Decherd plant. The new engine for Nissan’s newly boosted Infiniti range is expected to be same one developed for Mercedes-Benz, all of which will start in 2014 according to the companies themselves. Future expansion plans will allow a further production capacity of 250,000 new engines according to various sources.
The new engines will be assembled in Mercedes-Benz’s assembly plant in Tuscaloosa, Ala.
Which Infiniti model
Many maybe wondering exactly which Infiniti model will the new engine be installed into. Many expect Infiniti to develop a new sedan model to rival the likes of the BMW 3 Series. News hasn’t yet been officially confirmed regarding this subject however.
The Decherd factory
At present the Decherd factory in question employs 850 people. The factory makes a variety engines including four, six and eight cylinder engines. Engines created here are used within Nissan vehicles that are on the North American market. They are also used in the Spanish and Thailand market within Nissan made cars. 2011 saw a total production of 580,000 which is way below it’s capacity of 950,000.
Let’s hope that the deal does not end up like the last German and Japanese automotive partnership, Volkswagen and Suzuki.