Mercedes-Benz expands Hungarian plant with €1bn investment

Mercedes-Benz has completed a €1bn ($1.14bn) enlargement of its Kecskemét works successful Hungary.

The upgrade forms portion of Mercedes-Benz Business Plan 2022–2026 that is aimed astatine "sustainably strengthening the competitiveness, ratio and aboriginal viability of its full accumulation network".

The tract has grown from 200 to 440ha, making it Mercedes-Benz's biggest works successful Hungary and 1 of the largest globally, the radical noted.

Mercedes-Benz Group subordinate of the committee of absorption of production, prime and proviso concatenation absorption Michael Schiebe said: "With the works hold successful Kecskemét, we are expanding the resilience and flexibility of our planetary accumulation network. This tract defines the aboriginal of our manufacturing: intelligent, connected, integer and consistently focused connected efficiency, prime and sustainability.

"This enables america to competitively nutrient models specified arsenic the GLB and the caller electrical C-Class portion astatine the aforesaid clip strengthening the full accumulation network. I would similar to explicit my sincere acknowledgment to the squad connected tract for their exceptional and passionate commitment."

New additions see 2 halls for bodywork and assembly, an further property shop, a caller overgarment store and a installation dedicated to artillery assembly.

The works volition present physique the electrical C-Class, marking the archetypal battery-electric halfway exemplary manufactured there.

Under the company's "local-for-local" approach, assemblage components and thrust batteries for the GLB and C-Class EVs volition beryllium produced on-site to trim proviso concatenation length.

Existing accumulation lines volition support gathering combustion and electrical models connected a shared flexible line, portion the recently built hallway volition beryllium reserved solely for electrical conveyance output.

Kecskemét operates alongside the Rastatt works successful Germany arsenic portion of Mercedes-Benz's wider European manufacturing network, with links betwixt the 2 sites allowing output to beryllium adjusted according to demand.

A smaller mentation of the G-Class volition beryllium built exclusively astatine the Hungarian installation going forward.

The works runs connected integer accumulation infrastructure including the MO360 platform, which links information connected production, prime and proviso chains crossed aggregate sites.

It besides houses a "Digital Factory Twin" – a afloat integer replica of an assembly hallway developed connected NVIDIA's Omniverse platform, described by the institution arsenic its archetypal specified deployment.

According to the company, prime checks trust connected AI-driven tools, including camera systems for detecting defects during manufacturing.

Mercedes-Benz Group sold 417,800 cars successful the 2nd 4th of 2026, an 8% year-on-year (YoY) decline, arsenic gains successful Europe and North America failed to offset a 30% driblet successful China.

"Mercedes-Benz expands Hungarian works with €1bn investment" was primitively created and published by Just Auto, a GlobalData owned brand.