Mercedes-Benz India planning to double the production capacity

Mercedes-Benz India is planning to double the production capacity at its plant in Chakan due to increase in demand for their cars. This sudden demand is due to the optimism revolving around the economy because of the new stable government at the centre.

The German manufacturer is planning to double the plant capacity to 20,000 units per year. The top official of the company claims that the consumers were in the wait and watch mode before the elections but post the results, the number of footfalls and enquiries has increased.

"In the first half of May, we saw people in the wait-and watch mode but post the formation of the government, the number of footfalls and enquiries increased. The optimism in the market place has gone up and we anticipate another good year for the company," said Eberhard Kern, managing director, Mercedes-Benz India.

Mercedes-Benz doesn’t want to lose any opportunity in gaining maximum sales in the luxury car segment which has been growing in double digits in the last few years. This segment is around 33,000 units per year and is expected to grow more. The Pune-based manufacturer grew faster than the market last year with 9,003 units and is bullish about this year’s growth.