Following an agreement signed early this year, AM General has commenced production of the Mercedes-Benz R-Class.

Following an agreement signed early this year, AM General has commenced production of the Mercedes-Benz R-Class.

Previously assembled at Mercedes-Benz's factory in Vance, Alabama, the R-Class is now being produced by AM General at their facility in Mishawaka, Indiana, This move allows the Daimler-owned marque to free up production capacity which will be utilized to boost manufacturing rate of the GLE, GLE Coupe and the GL (soon to become GLS).

AM General used to make the Hummer H2 for General Motors and now they are producing the R-Class which is exclusively being sold in China where the model has proven to be relatively popular even though it failed anywhere else. This is a multi-year deal between the two parties and without this agreement the R-Class would have been phased out.

Although the R-Class will remain a China-only product, Mercedes-Benz is analyzing the prospects of developing a second generation which would likely be a global model. However, the car hasn't received the stamp of approval yet from the top brass at Daimler, so even if green-lighted, it won't be out before the end of this decade.

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