Nissan, Daimler Working On Mexican Assembly For Luxury Cars

Derek Kreindler
by Derek Kreindler
nissan daimler working on mexican assembly for luxury cars

The need for economies of scale in the automotive industry is driving some interesting events. The latest, a reported joint venture between Nissan and Daimler, is yet another step for the two companies, which has seen the Renault-Nissan alliance enter into, well, an alliance, to share costs relating to R&D and manufacturing.

Reuters is reporting that the two auto makers have signed a memorandum of understanding to build a factory in Mexico that will produce the Mercedes-Benz GLA, as well as an all-new Infiniti car.

The new car is likely the upcoming Q30 compact, which will use the Mercedes-Benz front-drive architecture that underpins the GLA and its CLA twin, as well as the Mercedes-Benz A and B Class compact hatches. The front-drive architecture has been wildly successful for Mercedes-Benz, and letting Infiniti utilize it will only ease some of the financial burden required for an all-new architecture, with both marques sharing some of the manufacturing costs.

Damiler and Renault-Nissan’s most recent collaboration was the just unveiled Renault Twingo, which will share a platform with the upcoming next-generation Smart cars. This sort of collaboration is a harbinger of things to come as competition in the auto world gets increasingly fierce, and the need for scale becomes a bigger requirement for profitability.

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