DaimlerChrysler, BAIC open plant in Beijing

BeijingBenz-DaimlerChrysler Automotive Ltd. (BBDC) celebrated the opening of its new manufacturing facility at a ceremony which included government officials, executives, community leaders and more than 1,000 employees of the joint venture and its two shareholders, DaimlerChrysler AG and Beijing Automotive Industry Holding Co. (BAIC).

The hour-long ceremony included presentations of two vehicles produced at BBDC – the Mercedes-Benz E-Class and the Chrysler 300C. Local production of the Mercedes-Benz E-Class began ramping up last December, while production of the Chrysler 300C will begin soon.

"Almost a quarter of a century after DaimlerChrysler co-founded the first international automobile joint venture in China, the opening of the BBDC’s new manufacturing facility is another milestone in our long tradition in China," said Dr. Dieter Zetsche, chairman of the Board of Management of DaimlerChrysler AG and head of the Mercedes Car Group. "This brand-new facility is tangible example of our continued growth in Northeast Asia and a major step towards realizing our ambitious goals in the fastest growing market in the world."

Zetsche was joined by Beijing Lord Mayor Wang Qishan; DaimlerChrysler Board of Management Member responsible for Corporate Development, Dr. Rüdiger Grube; BAIC chairman An Qinghen; DaimlerChrysler Northeast Asia chairman and CEO Dr. Till Becker, BBDC president Guenter Butschek, and other officials and executives.

With a total land area at the site of 2 million square meters, BBDC’s new facility is located in the Beijing Development Area (BDA) in Southeast Beijing. The 210,000-square-meter facilities currently produce Mercedes-Benz E-Class and Mitsubishi Outlander sedans, and will begin producing Chrysler 300C sedans soon. The next-generation Mercedes-Benz C-Class is also slated for production. BBDC has the capacity to build up to 25,000 Mercedes-Benz vehicles, and 80,000 Chrysler and MMC vehicles annually, with room to expand as needed.

The overall manufacturing site includes a “Mercedes Car Group” facility, a “Chrysler Group / MMC” facility, paint shop and stamping facilities, as well as environmental, logistics, and energy management centers. The Mercedes Car Group and Chrysler Group/MMC facilities each include separate body shops and assembly areas designed to accommodate the specifications for each brand. Both operations are flexible enough to introduce new models and to adjust particular volumes based on demand.

By adopting best practices in vehicle production and technology worldwide, the facilities’ main processes of stamping, painting, welding and final assembly set a new benchmark for the Chinese domestic automotive industry.

As in all DaimlerChrysler plants, the production system in China has been designed to ensure that any abnormality in the manufacturing process is properly identified and fixed. Both BBDC and DaimlerChrysler engineers have been training production colleagues to ensure that they are fully capable of meeting the high standards, and they are also empowered to continue to make improvements. The BBDC Automotive Technical Training Center, jointly built with Beijing Automotive Industrial School, trains employees on the DaimlerChrysler production system. The training center uses trainers from Germany, and will also send colleagues to train on the line in Germany.

Founded on August 8, 2005, BBDC is a joint venture between the Beijing Automotive Industry Holding Co. Ltd, and DaimlerChrysler. It is an expansion of the original Beijing Jeep Corporation, which was the first international automotive joint venture in China.

DaimlerChrysler and its partners are making significant investments in China for its ongoing and future projects to produce Mercedes-Benz passenger cars and vans and realize the production of heavy-duty and medium-duty trucks. The Chrysler Group will build the Chrysler 300C in Beijing, and license minivan production in Fuzhou (PRC) and Yangmei (Taiwan). DaimlerChrysler Auto Finance China became the first company in China to offer vehicle financing for both passenger cars and commercial vehicles. Additionally, DaimlerChrysler Northeast Asia imports passenger cars and commercial vehicles to Northeast Asia under the Mercedes-Benz, Maybach, smart, Chrysler and Jeep brands.