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Weekly Recap: Mercedes, Volkswagen spend big as import automakers invest in North America

Import automakers are on a building frenzy in North America as resurgent car sales have prompted companies to expand their manufacturing footprints to meet rising demand. That was evidenced this week when Mercedes-Benz announced plans to build a $500-million factory to produce the Sprinter commercial van, and Volkswagen confirmed a whopping $1-billion investment to expand its massive plant in Mexico. Meanwhile Jaguar Land Rover reportedly wants to build a factory in North America, but not for at least three years, and Hyundai is said to be expanding in the southern United States. The common thread in all of this expansion? Trucks, time and money. Mercedes wants to capitalize on the burgeoning work van segment in the United States and will break ground in 2016 on a 200-acre site in Charleston, SC, to build the next-generation Sprinter. The site will have a paint shop, body shop and an assembly line, and 1,300 people will be employed when production ramps up. Why do this, when Mercedes has immense van operations in Germany? It's cheaper to build in the US for the US market. Building locally allows Mercedes to avoid import taxes, forego a complex shipping process that involves partially disassembling German-built Sprinters and naturally, reduces the time it takes to deliver finished trucks to their buyers. "This plant is key to our future growth in the very dynamic North American van market," Volker Mornhinweg, head of Mercedes-Benz Vans, said in a statement. He was speaking about Mercedes and vans, but another German automotive giant, Volkswagen, had similar motives for its mammoth expansion plans in Puebla, Mexico. The added space and production capacity will allow VW to build a three-row version of the Tiguan, and provide another crossover for its US lineup that's light on SUVs. The current Tiguan has two rows. The factory will be able to churn out 500 units daily of the larger variant, and they will be sold in North and South America. It will arrive in the US in mid-2017, a spokesman told Autoblog. VW also plans to build another crossover, a midsize seven-passenger vehicle, at its growing Chattanooga, TN, site. "Localization has become key to safeguarding our competitive position on the global market, and manufacturing the Tiguan in Mexico will bring production closer to the US market," Michael Horn, CEO of Volkswagen Group of America, said in a statement.

Mercedes-Maybach G650 Landaulet is the ultimate safari machine

Update: A Mercedes representative has informed us that the Mercedes-Maybach G650 Landaulet will not be available in the United States. The text has been updated to reflect this. Vehicles such as the Mercedes-Benz G63 AMG 6x6 and G500 4x42 are all well and good, but they have one key issue: They simply aren't extravagant enough. Now we know that sounds insane because one of those vehicles has six driven wheels and the other is available in tennis-ball green. But they must not be decadent enough because Mercedes went a step further with the new Mercedes-Maybach G650 Landaulet. While the most obvious change here is the soft-top, which will make this perfect for the wealthy to view wildlife on private safaris, we should start under the hood. The previous two monster G-Wagens made do with lowly V8s. This one features a twin-turbocharged V12 making 630 horsepower and 738 lb-ft of torque. Like its predecessors, this G650 uses a four-wheel-drive system with front, center, and rear differential locks, and sends power to solid portal axles front and rear. These axles move the differential and drive axles above the wheel centers for additional ground clearance. Inside, the rear passengers will be in the lap of luxury, even while the driver is navigating particularly harsh terrain. The soft top can be electrically raised or lowered, as can a glass partition to the driver's compartment. The two individual rear seats can be fully reclined, and leg rests deploy from below, taking full advantage of the truck's long wheelbase. This would likely make for an amazing vehicle for stargazing. The passengers also have access to folding tables, 10-inch LCD displays, and heated, cooled, and illuminated cup holders. Only 99 of these G650s will be built. Mercedes will show the SUV at this year's Geneva show, and it will hit the market this fall. Mercedes hasn't announced pricing, but expect it to be exorbitant. Not that matters for American buyers, since a Mercedes representative told us it won't be offered in the States. For buyers in countries where the G650 will be available, they will have the option of four interior color schemes, three soft-top colors, and four paint hues. Related Video:

Mercedes GLE Coupe spotted in almost undisguised AMG form

Say what you will regarding the form and function of the BMW X6, the bottom line is that BMW essentially pioneered a winning formula, sloping a roofline onto an existing model to make a new and highly lucrative) derivative. No wonder rival Mercedes-Benz is clamoring to follow suit with models like the one pictured here. Under development for some time now, the model originally slated to be called the MLC and now expected to be dubbed GLE Coupe looks about ready for its big debut. It's based on the replacement for the current M-Class (to be rechristened GLE) but with that vital sloping roofline to make it more rakish. This particular example seems to be an AMG version and was spied with only minimal camouflage around the front and rear bumpers while undergoing testing in snowy climes. That could be the full-on GLE63 AMG performance variant, or the new AMG Sport model destined to debut at the Detroit Auto Show next month. If it's the former, expect it to be packing the same 4.0-liter twin-turbo V8 as the new Mercedes-AMG GT, where it produces either 462 horsepower or 510 depending on spec - ready to take on the X6 M and whatever Audi is preparing to throw at it.