Productionstart of the new electric C-Class and expansion of the plant.
Mercedes-Benz is significantly expanding its Kecskemét plant in Hungary as part of the transformation of its global production network. With around €1 billion invested under the 2022–2026 Business Plan, the plant has grown from 200 to 440 hectares. New facilities include bodywork and assembly halls, a second press shop, a modern paint shop, and a battery assembly facility. The expansion will make Kecskemét Hungary’s largest automotive production site and one of Mercedes-Benz’s largest manufacturing locations worldwide.
Production and Electrification
The plant has started production of the new all-electric C-Class, making Kecskemét an important part of Mercedes-Benz’s electrification strategy. Key components, including body parts and batteries, are produced locally to shorten supply chains and improve flexibility. The plant can manufacture combustion-engine and electric vehicles on the same production line, while the new hall is focused on fully electric vehicles. In the future, electric GLC production can be shared between Kecskemét and Bremen depending on demand. A more compact version of the G-Class will also be produced exclusively in Kecskemét.
Digitalisation and Technology
Kecskemét has become one of Mercedes-Benz’s most advanced production sites. The plant uses the MO360 digital production ecosystem, AI-supported applications, and highly flexible manufacturing systems. A major innovation is the Digital Factory Twin, which creates a complete virtual replica of an assembly hall using NVIDIA Omniverse. This technology allows Mercedes-Benz to simulate, test, and optimise production processes before implementing them physically, helping improve efficiency, quality, and flexibility.
Sustainability
Sustainability is another major focus of the expansion. Solar installations at the plant have a total capacity of 42.3 MWp and provide approximately 25% of its annual energy requirements. The new paint shop consumes around 20% less energy than the existing facility and reduces CO₂ emissions by approximately 80%. Mercedes-Benz is also investing in water efficiency and waste reduction to make the entire production process more environmentally sustainable.