Mercedes-Benz mentioned Thursday it is going to add a “core segment” automobile line to its plant in Tuscaloosa, Ala., by 2027. The manufacturing unit now makes SUVs, and the corporate did not specify which mannequin could be added.
The transfer follows President Trump’s enhance in tariffs on metal, aluminum and overseas made auto elements, which the president says are geared towards boosting American manufacturing.
“We are getting even closer to the U.S. customer by localizing a core segment model in Tuscaloosa, strengthening our ties to the North American market where a range of Mercedes-Benz vehicles including the GLE and GLS models have their roots,” Jason Hoff, CEO Mercedes-Benz North America mentioned.
On Monday, the Trump administration mentioned it could permit automakers to use for 15 p.c value offsets within the first 12 months of the tariffs and a ten p.c offset within the second 12 months, in hopes of hoisting the home manufacturing of vehicles.
Twenty-five p.c tariffs on imported vehicles and auto elements are scheduled to enter impact Saturday.
Mercedes-Benz and others have heeded the White Home’s warning about an enhance in the price of overseas auto half manufacturing. BMW, Stellantis, Toyota, Kia, Honda and Hyundai additionally plan to maneuver extra automobile manufacturing to the U.S. in accordance with a White Home launch.
“Tuscaloosa has been a key hub for Mercedes-Benz vehicles for almost 30 years. It’s a natural step to bring a further model to Alabama as part of a strategy to deepen our commitment to the United States, a market, which has been our home for more than a century,” Ola Källenius, chairman of the board of administration of Mercedes-Benz Group AG mentioned in a press release.
The corporate mentioned that since 1997, greater than 4.5 million autos have left the Tuscaloosa plant, with round 260,000 autos rolling off the road in 2024 alone. The Tuscaloosa plant is dwelling to the GLE, GLS, GLE Coupe, and Mercedes-Maybach GLS in addition to the EQE SUV, EQS SUV, and Mercedes-Maybach EQS SUV for all international markets.
