Mercedes has confirmed that they will start local assembly of the new M and G Class SUVs in India. While local assembly for the M-Class will start as early as November this year, the bigger G-Class assembly operations will begin sometime next year. The idea behind the semi-knocked down assembly is to attract lower import duties as compared to CBU and price the cars very competitively. These kits are produced in Tuscaloosa, prepared for shipping and sent on their journey to the final assembly plants. This is the first time that the M-Class and G-Class will be assembled outside of Tuscaloosa, USA. Mercedes’ facility at Stuttgart will continue to supply the engine and transmissions.

Wolfgang Bernhard, member of the board of management of Daimler AG said, “Our new SUVs are very popular with our customers. We expect high growth rates also in the emerging markets and therefore extend our local production. Thus, we open up new potential as part of our growth strategy.”