Mercedes-Benz to relocate A-class production to Hungary from Germany
The German luxury automaker plans to relocate A-class manufacturing
from its Rastatt facility in Germany to its plant in Kecskemét, Hungary.
According to the spokesperson, this decision will create space at the Rastatt location for the launch of future planned models.
The news was first reported by industry publication Automobilwoche.
The German carmaker's production facilities in Germany and Hungary are part of a flexible network that enables the company to adjust manufacturing based on plant capacity. Production costs in Hungary are generally lower than in Germany. Other major car manufacturers with a presence in Hungary include BMW, Audi and the Chinese electric vehicle manufacturer BYD.
In July last year, it was announced that the Mercedes A-class would remain on the assembly line until 2028, two years longer than originally planned. This information was confirmed at the time by a member of the Mercedes board of directors.
Reports in the spring suggested that Mercedes might transfer production from Germany to the Hungarian plant, which would boost the factory's capacity to 200,000 units per year. Production at the Kecskemét plant has been relatively low recently, partly due to preparations for the 2026 transition to the new model cycle.
Cover image (for illustration purposes only): Getty Images
