
Last month, Daimler was in talks with Austrian-Canadian machinery maker Magna on moving production of the Mercedes G-Class sport utility vehicle to Hungary. Magna CEO Gunther Apfalter conceded production costs were lower in Hungary than in Austria - per-hour labour costs in Hungary are about €9 compared to €24 in Austria - but he said Magna wanted to keep the plant in Graz.
In addition, another Austrian newspaper, Kurier, said Magna was “thinking hard” about opening a new base in Central Europe, in part because of the talks with Daimler.
However, it looks like Mercedes-Benz Car Group will continue production of their Mercedes-Benz G-Class beyond 2012 at Magna Steyr in Graz, Austria.
The Mercedes-Benz G-Class has been produced in Graz since 1979. The company made almost 7,200 G-Class vehicles in 2011 and the number is set to rise to 8,500 in 2012. By 2013, production numbers could climb to 10,000.