The move of the automaker will end its connection with New Jersey where it has approximately 1,000 workers. Mercedes-Benz USA was based in the state since 1972. Its parent company is Daimler AG.
Mercedes-Benz USA is expected to announce its decision to relocate its headquarters on Tuesday. The automaker’s plan to transfer its headquarters to Atlanta was first reported last December. A spokesperson for the automaker declined to comment regarding the issue.
Mercedes-Benz headquarters will be closer to Alabama plant
Mercedes-Benz USA has a manufacturing plant in Tuscaloosa, Alabama. The automaker has been expanding the capacity of the plant to produce as much as 300,000 vehicles annually by 2016.
The Mercedes-Benz M-Class, R-Class and GL-Glass are produced at the Tuscaloosa plant. The automaker also started manufacturing the next generation Mercedes-Benz C-Class for the North American market at the plant
Moving the headquarters of Mercedes-Benz to Atlanta means it will be closer to the Tuscaloosa manufacturing plant. In 1998, the automaker considered relocating its headquarters to Pearl River, New York. However, the plan did not push through because of increasing costs.
Other automakers planning to relocate headquarters
Last April, Toyota Motor Corp announced its plan to transfer majority of its operations in the country to a new campus in Plano Texas. The Japanese automaker will move its corporate headquarters, sales and manufacturing in the area over the next three years. The move will affect approximately 4,000 employees. Majority of the affected workers (2,000) are working at its sales office in Torrance, California.
On the other hand, General Motors Company announced last September that it will be moving the headquarters of the Cadillac brand in New York. The automaker will probably open the headquarters at SoHo section of Manhattan with some employees during the first quarter this year.
“There is no city in the world where the inhabitants are more immersed in a premium lifestyle than in New York. It allows our team to share experiences with premium-brand consumers and develop attitudes in common with our audience,” according to Johann de Nysschen, president of the Cadillac brand during the announcement.