Another 40 000 next generation C-class Mercedes Benz will be built at the East London plant, announced DaimlerChrysler’s chairman and chief executive Christoph Kopke.

Due to be released in 2006, it will succeed the current C-class model successfully being built at the plant.

While the finer points of the contract still need to be finalised, it is clear that there will be no increase in the current production numbers (43 000) because of the worldwide economic slowdown. Local management was hoping for this number to double.

However, there is still a possibility that the production line for the model could be adapted to handle assembly of left-hand drive cares for future export to the United States. This would depend on an improvement in the international economy.

Further good news is that local component manufacturers and suppliers would be able to claim a stake in local and international content of the 2006 model immediately. This is not the case for the current model.

Of the C-class production, 25% is sold in South Africa while 44% is exported to the United Kingdom, 11% to Australia and the remainder to the Pacific Rim countries.