08/11/2008 14h48

Mercedes announces investment in the São Paulo Metropolitan Region today

Valor Econômico – 08/11/2008

Mercedes-Benz, a company of the German group Daimler, officially announces today an investment injection in São Bernardo do Campo, in the São Paulo Metropolitan Region, where its largest plant of trucks and buses of Latin America is located. Mercedes is not the only one willing to take advantage of a growing market. The main rivals have already announced new investments to enlarge their facilities. The production of trucks in the country increased 27.5% from January to July, pushed up by the demand in the domestic market. As a consequence of the vigor of sectors such as civil construction, mining and agribusiness, the sales of trucks increased 35.9% in the same period (74.2 thousand units). The queues for purchasing these vehicles exceed the normal lead time. Manufacturers of cars and parts have informed the governor of São Paulo, Jose Serra, of successive investment announcements in the State of São Paulo. Mercedes had been making adjustments to try to keep up with the growth in the demand. In February, the company announced 500 job openings and increased its personnel 12 thousand workers. Installed in São Bernardo do Campo for 51 years, Mercedes is one of the few makers that did not give signs of wearing out in the São Paulo Metropolitan Region even during the periods of crisis. The company has solid grounds there, both for the domestic and the exportation markets. And it has a peaceful relationship with the workers lined up with the labor union movement of the region. In the last five years, the investments of Mercedes were aimed mainly to the renewal of its products. With new models, the company was able to advance and stand out in the segment of heavyweight trucks, and it started selling more in this niche than Scania and Volvo, companies which are specialized in heavyweight trucks. In the general market, Mercedes has fought with Volkswagen for the leadership in trucks. In buses, the German maker holds the first place for decades.