Mercedes to assemble some of its cars in India

Few car models from Mercedes Benz may come with reduced price tag in the future since  the German luxury car maker is planning to assemble its car models in India. The German car models extracts 110 per cent of the custom duty on its CBU however the knocked down units attracts an import duty of only 10 per cent import duty. Well its known that after the components are imported, it will help in reducing the luxury car prices by around 35 per cent.

Suhas Kadlaskar, Director, Corporate affairs at Mercedes-Benz said that the auto company will be establish its paint shop in India by next year and it will be likely that the company will raise the number of locally assembled car models. At present, the luxury auto makers are using the Indian automobile giant, Tata Motors's paint shop.

Currently Mercedes-Benz assembles three of its car models, these are Mercedes C Class, Mercedes E Class and Mercedes S Class for the Indian auto market. However it ships Mercedes R Class, Mercedes M Class, Mercedes GLK Class and Mercedes GL. Mercedes M Class and Mercedes GL Class available with a price tag of more than 63 lakh are likely to be considered for assembling it locally.

In 2010, Mercedes sold as many as 5,800 car models out of which 5,150 models were those who were assembled locally. 2,500 car models of Mercedes E Class costing Rs 39.4 lakh were sold, 2,070 units of the Mercedes C Class costing 29 lakh were sold. Mercedes S Class high end models priced at Rs 83 lakh to Rs 97 lakh witnessed a sale of 580 units while Mercedes M Class and Mercedes GL Class saw a sale of 200 car models each.

Read More on : Mercedes-Benz M-Class 2013