Premium automotive manufacturer Mercedes-Benz has announced it is starting construction work for a new fully flexible passenger car plant, thereby strengthening Daimler’s industrial commitment in Russia, which so far has concentrated on commercial vehicle production. The new passenger car plant located in the Moscow region is scheduled to start local production in 2019 beginning with the E-Class Sedan, which is said to “set new standards as the most intelligent sedan in the business class” with technical innovations such as partially automated driving.

The SUV models GLE, GLC and GLS are to follow subsequently. In total, the company said it is investing over €250 million in the location. Production will be managed by the newly founded company Mercedes-Benz Manufacturing RUS (MBMR). “With the fully flexible production of the E-Class Sedan and the SUV models, we will produce our bestsellers for the regional market”, said Markus Schäfer, Member of the Divisonal Board of Mercedes-Benz Cars, Production and Supply Chain.

Equipped with a “full-flex assembly” and state-of-the-art technologies into the production system, the production facilities are said to be configured for maximum flexibility, so that several architectures can be produced on one assembly line. An autonomous material flow and convertible plant technology will allow the manufacturer to react to customer demand even faster. Through the use of warehouse baskets for supplying the assembly lines, different model series and derivatives can be integrated into series production. A so-called “one-roof concept” will enable fast throughput times between the shops, efficient production and short distances for the employees. Further Industry 4.0 measures are being implemented in the form of innovative IT technologies.

Over 1,000 new jobs are expected to be generated at the site.