Mercedes-Benz makes $600 million investment in France factory to produce new ‘compact’ EV

Mercedes-Benz makes $600 million investment in France factory to produce new ‘compact’ EV

In a recent announcement, Mercedes-Benz has revealed that it is making a new investment of nearly US$600 million into its Hambach car-manufacturing factory in France. The latest investment by the German automaker will go towards the production of a new ‘compact’ electric vehicle (EV) at the factory.

The Hambach factory at which Mercedes-Benz is investing nearly US$600 million is presently producing smart cars -- to be available in all-electric versions -- for Daimler. The new investment by Mercedes-Benz will pave the way for the production of its new compact EV at the factory.

Mercedes-Benz is one of the foremost legacy automakers with aggressive plans for the electrification of vehicles. The automaker is set to unfold a comprehensive EV effort in 2019, when it plans to launch its first all-electric ‘EQ’ sub-brand vehicle --- the ‘EQC’ SUV.

With regard to Mercedes-Benz’s new investment into the Hambach factory, Dieter Zetsche -- Head of Mercedes-Benz Cars and Chairman of the Board of Management of Daimler AG -- has said in a recent statement that the move will secure the production of the ‘compact’ EQ model at the factory.

Further adding that the investment brings Mercedes-Benz production to France for the first time in the automaker’s over 100-year old history, Zetsche said: “With the compact EQ model from Hambach we continue our electric initiative.”