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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.

Brabus spools up new 850 6.0 Biturbo Coupe

With a 5.5-liter twin-turbo V8 cranking out 577 horsepower and 664 pound-feet of torque, the Mercedes-Benz S63 AMG Coupe is not the first vehicle we'd figure was in need of an upgrade. But the folks over at Brabus have evidently felt otherwise, bringing the 850 6.0 Biturbo Coupe to the Geneva Motor Show this year. Now the name might be slightly misleading, but not by much: the revving heart of this beast has been bored out to 5.9 liters and its output raised to 838 horsepower (by our standards). The modified engine also includes new turbochargers, breathing apparati and a remapped ECU to produce an even more prodigious 1,069 pound-feet of torque – although to keep the whole thing from going up in flames, Brabus has limited that last figure to 848 lb-ft. The top speed has been limited to "only" 217 miles per hour to keep the tires from melting, but it'll reach 62 mph from a standstill in just 3.5 seconds. That makes this bahn-stormer blisteringly fast, though the seven-speed automatic transmission and all-wheel drive system have been left largely unchanged. Naturally that's not the end of the story, as the Brabus 850 6.0 Biturbo Coupe also features a full new carbon-fiber aero kit, wheel options ranging from 18 inches to 22, a completely refitted interior and oh, so much more. Chances are you'll never see one sitting still, so you'll want to scope it out in the slideshow of live images from the floor of the Geneva Palexpo for a closer look. Related Video: