Mercedes-Benz Group is exploring the possibility of sharing its vehicle manufacturing plant in East London, South Africa, with Chinese automaker Great Wall Motor (GWM), as part of efforts to strengthen the facility’s long-term competitiveness, BusinessTech reported.
The discussions centre on a potential co-manufacturing arrangement that would allow GWM to produce vehicles at the Mercedes plant, which currently employs about 2,400 workers. Representatives of the Chinese automaker have reportedly presented a proposal to officials at the South Africa Department of Trade, Industry and Competition, outlining plans for possible local vehicle production.
Mercedes said it regularly reviews options to ensure its global production network remains efficient and sustainable, though the company declined to comment directly on the negotiations. Industry analysts say a plant-sharing arrangement could help optimise production capacity and reduce operating costs as traditional automakers face rising competition from lower-cost imports from Asia.
The East London plant has been a key part of Mercedes’ global export operations for decades, producing vehicles such as the Mercedes-Benz C-Class for international markets since the late 1990s, according to reporting by News24.
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