New Moscovia facility is one of the first to be opened by a foreign manufacturer in Russia in some time, and is tipped to have an output of 25,000 units per year.
- shares

Daimler has opened a new plant near Moscow as part of a €250 million ($394.73m) investment, which will see Mercedes-Benz models produced in Russia, for Russia.

The facility will create more than 1000 jobs, and initially produce the Mercedes-Benz E-Class. Daimler says "SUV models will follow".

According to the company, there's "high demand for Mercedes-Benz E-Class sedans and SUVs" in Russia, hence the move to produce its most popular vehicles in the region locally from here on.

Daimler adds that Mercedes-Benz has doubled its passenger car sales in Russia over the past decade.

"The Mercedes-Benz plant Moscovia is another component of our strategy of producing where our customers are. And both partners benefit from this: Russia and Mercedes-Benz," said Dieter Zetsche, chairman of the board of management of Daimler AG and head of Mercedes-Benz Cars.

Amongst the attendees at the factory's opening were Zetsche, along with president of the Russian Federation, Vladimir Putin (below).

Above: Dieter Zetsche (Head of Mercedes-Benz), Vladimir Putin (President of Russia), Peter Altmaier (German Federal Minister for Economic Affairs and Energy)

Daimler says the new plant will employ Industry 4.0 technologies, including driverless transportation systems that "convey the bodies between subsections", automated shopping cart systems in the assembly process, electric forklifts, heat recovery in buildings and the use of water-soluble products in painting.

The Moscovia facility joins a global network of more than 30 production locations around the world.