DaimlerChrysler on May 9 began construction of its new plant for Mercedes-Benz vehicles at Chakan in Pune, India. The foundation stone of the new facility was laid by the honorable chief minister of Maharashtra, Vilasrao Deshmukh, together with Dr. Joachim Schmidt, chairman of the board of DaimlerChrysler India, Professor Eberhard Haller, member of the board of DaimlerChrysler India and responsible for CKD plants of the Mercedes Car Group, and Wilfried Aulbur, managing director and chief executive officer of DaimlerChrysler India in presence of additional Indian government representatives.
In January 2007, DaimlerChrysler India had already signed a memorandum of understanding with the government of Maharashtra to build the new plant at a 100-acre plot near an already existing plant. The new manufacturing facility will produce the Mercedes-Benz S-Class, E-Class and C-Class for the Indian market. Start of production is expected in early 2009. Over the next few years, DaimlerChrysler plans to invest around €50 million in connection with the new production facility. The new Chakan plant will initially employ around 350 workers, matching the level of the current facility.
“Our confidence in the Indian market is reflected in our long association with the country. Our engagement with India dates back to 1954 when we started collaboration for trucks in India. Subsequently, we were also the pioneers of the luxury car market in India”, said Schmidt.
In 2006, DaimlerChrysler India sold 2,121 vehicles, achieving strong growth of 10 percent (2005: 1,915). In the first quarter of 2007, DaimlerChrysler India already recorded further growth of 17 percent.
“As a company, we have enjoyed steady and profitable growth in India and we are looking forward to continue our success story here in our own premises,” Aulbur underscored the rapid change of the luxury car market since DaimlerChrysler entered India in 1994.
In 1995, DaimlerChrysler started producing the Mercedes-Benz E-Class in a leased factory at Chikhali in Pune, near Mumbai in the Federal State of Maharashtra. In the following years, DaimlerChrysler broadened its production to include the S-Class (2000) and C-Class (2001). Today, DaimlerChrysler has dealerships spread across 27 cities in India and was the first automotive company in India to complete ISO9001:2000 certification for its entire dealer network in India.
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