The longer-term future of Mercedes-Benz’s production plant in East London has been secured by investments to ensure its flexibility to produce vehicles with different powertrains.
The move was driven by the global automotive industry transition to electromobility.
Member of the board of management of Mercedes-Benz AG responsible for Production and Supply Chain Management Jörg Burzer said on Monday there might be a time in the next 10, 15 or 20 years when Mercedes-Benz will have to decide on whether it will be producing internal combustion engine (ICE) vehicles, hybrids or all-electric vehicles (EVs).
Flexibility is ‘fundamental’
But Burzer stressed that flexibility is currently one of the fundamental topics in Mercedes-Benz’s manufacturing business.
“We are working on the assumption that by 2035 we will be able to produce 100% electric [vehicles] and so we are preparing the production network for that,” he said.
This follows the announcement by some countries that ICE vehicles will be banned from 2035.
Burzer said Mercedes-Benz used some of the investments it made in South Africa for the production of the new C-Class to introduce flexibility in terms of powertrain technology.
“The South African plant could produce 100% hybrids. Obviously, we have to prepare the drivetrain for that, but this secures the future,” said Burzer.
“What is the key and most important topic right now is that our operations in South Africa are flexible in terms of powertrain. This is extremely important, especially since our South African plant is an export plant,” he said.
Billions invested
Mercedes-Benz Cars announced in June that it had invested a further R3 billion in South Africa to boost its investment in the country to R13 billion for the production of the new generation C-Class at its plant in East London.
Burzer said the East London plant is one of the cornerstones of Mercedes-Benz’s global production network.
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