German carmaker Mercedes-Benz has opened its Beijing Benz Automotive (BBAC) engine plant to produce passenger-car engines in Beijing on 18 November 2013.
The company commenced the construction of this plant in 2011 with EUR400m investment. It will produce four and six-cylinder engines to power the passenger cars produced at BBAC and Mercedes-Benz vans produced locally at the joint venture Fujian Benz Automotive.
Based on a flexible production-line concept, the plant will have an annual production capacity of 250,000 units for the initial phase.
Daimler Greater China chairman and CEO Hubertus Troska said: "The investment of around 400 million euros in our first ever passenger-car engine plant outside of Germany demonstrates both our commitment to serving our Chinese customers even better with the latest technology locally made and our confidence in Mercedes-Benz's prosperous future here in China."
BBAC president and CEO Frank Deiss said that they are now building the heart of their Mercedes-Benz cars also here in Beijing, underlining their integrated and strong localization strategy.
"The production follows our globally acknowledged quality standards and processes, further strengthening Mercedes-Benz Car's global production footprint," Deiss added.
