Mercedes Increases Production of the A-Class to Meet Demand image

Mercedes increases production of its successful model, the A-class.

According to the company, it has taken 70, 000 pre-orders from western Europe alone. This means that one for every 10 people that attended the pre-launch events has ordered the model. Therefore Mercedes has to increase production of the A-class at its Rastatt plant, Germany, to be able to cope with the order book.

Mercedes will add a third shift, increasing production by almost 50% for the A class, a stark contrast with the recent announcement that it has to reduce production of the S class due to decreased sales, mainly because of the new S Class in the pipeline for 2013, but also because customers begin to choose more compact models.

“We have expanded our full-time work force by 500 permanent staff and are now well positioned to deliver the cars to our customers as soon as possible,” said Rastatt plant director Peter West in a statement on Tuesday.

The automaker said it has a costs saving plan of about 1 billion, which does not include job cuts. Currently production lines at the Sindelfingen facility are affected and the management and labor representatives are negotiating shift plans.