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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.

Mercedes-Benz C-Class named 2015 World Car of the Year

It's been a good morning for Mercedes-Benz, with three of the company's wares taking home awards today at the New York Auto Show. The 2015 World Car of the Year awards have just been announced, and the charming new C-Class sedan has taken top honors, beating both the new Volkswagen Passat and Ford Mustang. But Car of the Year isn't the only award Mercedes received this morning. Here are the other World Car announcements, where M-B was honored two more times. World Performance Car of the Year: Mercedes-AMG GT World Luxury Car of the Year: Mercedes-Benz S-Class Coupe World Green Car of the Year: BMW i8 World Car Design of the Year: Citroen C4 Cactus Congratulations, all around, to this fantastic group of cars.

Mercedes completes production of G63 AMG 6x6

Considering its 19-foot length, it sure was short-lived. A flash in the pan, really, in so far as a 4-ton beast could possibly be. But the Mercedes G63 AMG 6x6 is reportedly wrapping up its short production run this month. Based on a military variant of the legendary Gelandewagen but built for civilian consumption, the G63 AMG was – and will likely forever remain – the ultimate version of Benz's ultimate off-roader. It features six driven wheels on three axles with five differentials, all powered by AMG's stalwart 5.5-liter twin-turbo V8. Mercedes rolled out the 6x6 on all its half-dozen driven wheels barely over a year ago, and despite its half-million-dollar sticker price, demand soared. But after selling about 100 of them, the German automaker is putting it to pasture, ensuring its rarity in the annals of off-roader history. In its place, Benz will now begin production of the (relatively and slightly) less bonkers G500 4x42, which employs a tamer 4.0-liter twin-turbo V8 driving a more conventional four wheels, and ditches the pickup short-bed for an enclosed wagon body-style, but keeps its eccentric big brother's jacked-up ride height. Those looking for the last word in power, though, will be more interested in the twelve-cylinder G65 that will now be coming to US dealers with a $200k+ sticker price. Related Video: