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Weekly Recap: Mercedes, Volkswagen spend big as import automakers invest in North America

Import automakers are on a building frenzy in North America as resurgent car sales have prompted companies to expand their manufacturing footprints to meet rising demand. That was evidenced this week when Mercedes-Benz announced plans to build a $500-million factory to produce the Sprinter commercial van, and Volkswagen confirmed a whopping $1-billion investment to expand its massive plant in Mexico. Meanwhile Jaguar Land Rover reportedly wants to build a factory in North America, but not for at least three years, and Hyundai is said to be expanding in the southern United States. The common thread in all of this expansion? Trucks, time and money. Mercedes wants to capitalize on the burgeoning work van segment in the United States and will break ground in 2016 on a 200-acre site in Charleston, SC, to build the next-generation Sprinter. The site will have a paint shop, body shop and an assembly line, and 1,300 people will be employed when production ramps up. Why do this, when Mercedes has immense van operations in Germany? It's cheaper to build in the US for the US market. Building locally allows Mercedes to avoid import taxes, forego a complex shipping process that involves partially disassembling German-built Sprinters and naturally, reduces the time it takes to deliver finished trucks to their buyers. "This plant is key to our future growth in the very dynamic North American van market," Volker Mornhinweg, head of Mercedes-Benz Vans, said in a statement. He was speaking about Mercedes and vans, but another German automotive giant, Volkswagen, had similar motives for its mammoth expansion plans in Puebla, Mexico. The added space and production capacity will allow VW to build a three-row version of the Tiguan, and provide another crossover for its US lineup that's light on SUVs. The current Tiguan has two rows. The factory will be able to churn out 500 units daily of the larger variant, and they will be sold in North and South America. It will arrive in the US in mid-2017, a spokesman told Autoblog. VW also plans to build another crossover, a midsize seven-passenger vehicle, at its growing Chattanooga, TN, site. "Localization has become key to safeguarding our competitive position on the global market, and manufacturing the Tiguan in Mexico will bring production closer to the US market," Michael Horn, CEO of Volkswagen Group of America, said in a statement.

2016 Mercedes-Maybach S600 offers the plutocratic life for $189,350*

Mercedes-Benz has officially announced pricing on its ultra-luxurious Maybach S600, and just as we feared, you'll probably need to be a Saudi oil sheikh to afford one. Prices start at $189,350, excluding a paltry $925 destination charge. That princely sum does not, however, make the Maybach version of the latest S-Class the company's most expensive sedan. That honor still goes to the ridiculously powerful and absurdly priced S65 AMG, which starts at $222,000. The new model's price easily surpasses that of the vehicle it's based on, though. Mercedes old flagship sedan, the S600, starts at $166,900. Of course, you do get quite a lot of kit for spending an extra $23,000, besides the C-pillar-mounted Maybach badges and the extra 7.9 inches of wheelbase. Upgrades include a re-engineered interior that should be quieter than even the tomb-silent standard S-Class. Even the seats, which are lined in extremely supple leather, are noise insulated. Speaking of those seats and leather, the Maybach trim should include a fairly extensive range of different woods and leathers, for that personal touch. Beyond that, Maybach-exclusive features include a new fragrance for Mercedes' silly Air-Balance system, as well as a pair of silver-plated champagne flutes. What are your thoughts? Does the Maybach S600's extravagant price tag seem worth it (we're leaning towards yes)? Have your say in Comments. Mercedes-Benz Announces Pricing On All-New 2016MY Mercedes-Maybach S600 Segment-Leading Flagship to Start at $189,350* January 16, 2015 - MONTVALE, NJ The S-Class range has a long established tradition of setting the benchmark in the luxury segment, and the launch of the highly-anticipated new Mercedes-Maybach S600 in April will further assert its leadership position in the U.S. market. Priced from USD $189,350, this exceptional addition to the product lineup offers more than 8 inches in total length when compared to the standard S-Class and features a suite of intelligent safety technologies and exclusive appointments that complete the opulent package. The Mercedes-Maybach S-Class seamlessly melds the perfection of the Mercedes-Benz S-Class with the incredible heritage and prestige of the Maybach nameplate. Mercedes-Maybach is not an equipment line. It is a sub-brand that introduces Mercedes-Benz vehicles in an even more exclusive form.

Recharge Wrap-up: Houston's bus revival, autonomous trucks on the Autobahn

A documentary shows how Houston, Texas significantly improved its outdated bus system. Called High Frequency: Why Houston is Back on the Bus, the short film describes how the city reimagined its bus system to become more efficient, more useful and more popular. Despite some opposition, the change has proven to be effective, with bus ridership up eight percent in three months, and light rail ridership up due to complementary bus routes. See the video above, and read more at CityLab. Automakers sent autonomous semi trucks on the German Autobahn as part of the European Truck Platooning Challenge of 2016. Mercedes-Benz, Volvo and Scania, among other groups, sent platoons of trucks between Stuttgart, Germany, and Rotterdam, Holland. In Mercedes's platoon of three trucks, the lead truck was fitted with lasers and other sensors to guide the convoy down the road. The two following trucks relied on vehicle-to-vehicle communication to trail 50 feet behind the lead, making room for cars to come between them and closing the gaps when able. The close following distance provides fuel economy gains of up to 10 percent in the rearward trucks on account of the reduction in drag. Read more at Hybrid Cars. Renault has reduced NOx emissions in its Euro 6b diesel vehicles in real world driving conditions. By improving its exhaust gas recirculation systems and NOx traps, nitrogen oxide emissions are cut in half on average, under certain driving conditions. The improvements will be included in vehicles leaving the factory beginning in July of 2016. Beginning in October, owners of Renault Euro 6b diesels can have the modifications added to their cars for free. Read more from Renault. Tata Technologies is creating an innovation lab in California to partner with EV technology companies. Having a tech center in California allows Tata to work on technologies that will largely be deployed in the company's main market of Asia. "Today, we are partnering with companies and startups who have aspirations to sell in China, but a lot of what they do is in California," says Samir Yajnik of Tata Technologies. Read more from The Economic Times. BMW's i Ventures is investing in mobility-as-a-service software provider RideCell. RideCell provides technology for services such as carsharing, ridesharing and other transit services. "The convergence of transportation trends in cities is of key importance to BMW," says Ulrich Quay, head of BMW i Ventures.