Mercedes-Benz to assemble SUV’s in Asia
Mercedes-Benz has started the process of sending SUV kits over to the Asian region. Their aim is to assemble SUV’s in Asian countries, rather than doing so in Europe and then exporting the vehicles. This would effectively make business cheaper and essentially lower the cost of vehicles in Asia.
A recent statement released from Mercedes-Benz confirmed that such a move will bump of sales of Mercedes-Benz cars in countries such as Thailand, Indonesia and India. It is extremely important that Mercedes-Benz actually followed out such a plan of action. The Asian car market has extremely high tax and import fees. Costs need to be cut down. Custom restrictions were also proving to be a huge issue.
Prices of Mercedes-Benz SUV vehicles in Asia as mentioned earlier will be a lot more competitive. This will help the company compete better alongside fierce rivals Audi and BMW in the region, who are experiencing excellent sales. The price difference between the United States and India is huge.
A 2013 model Mercedes-Benz M-Class in the United States can be sold for $47,270 and $96,100, depending on the optional extras and variant chosen. The same vehicle will be sold for approximately $200,000 in India. As you can tell there is a massive price difference. The shipping of car kits to Asia will also increase business to suppliers in the USA.
The Mercedes-Benz Tuscaloosa Country plant will have more jobs, as extra work will be carried out. Their plant is Vance is also set for a great increase in business, who builds the new generation GL-Class. This car is set for showrooms in the United States at some point next month. Mercedes-Benz has already assembled vehicles in countries such as Thailand, Indonesia and India.
These include their famous C-Class, E-Class and S-Class vehicles. Now it’s time for Mercedes-Benz SUV vehicles to be assembled here. It may prove tough for Mercedes-Benz to enhance their business in countries such as Thailand and India but that is because Governments in developing countries wish to increase auto manufacturing in their country. Who can blame them?As you can imagine, there is a very careful operation as to exactly how the shipments of products are originally stocked and then sent to Asia. Even the smallest of items such as screws are weighed and counted, ensuring the whole process runs as smoothly as possible. We believe Mercedes-Benz Asia will gradually become more and more successful.