By Drew Johnson
Monday, Nov 30th, 2009 @ 3:27 pm

Mercedes-Benz has been assembling SUVs at its Tuscaloosa, Alabama plant since 1997, but the southern plant could soon add the company’s popular C-Class model to its production list. The Tuscaloosa factory currently produces the M-Class, R-Class and GL-Class. Rumors of such a production shift first surfaced in September.
According to reports out of Germany, Mercedes brass is seriously considering moving some production of the company’s C-Class vehicle to the United States. The Mercedes-Benz C-Class is currently produced in Sindelfingen, Bremen, South Africa and China.

Mercedes execs are considering the move to safeguard against an unfavorable exchange rate. The C-Class is easily Mercedes’ most popular model in the United States, but the weak dollar is eroding the German automaker’s profit margin on the fast-selling sedan.

If given the go ahead, Mercedes would produce the next-generation C-Class – due out in 2014 – at the company’s Tuscaloosa plant. Mercedes is said to be targeting an 80,000 unit annual capacity, indicating some U.S. made C-Class models would likely be exported. The production shift could eliminate 3,000 jobs at Mercedes’ Sindelfingen plant, although it remains possible the Mercedes SL could fill the C-Class’ spot at the Sindelfingen factory.

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