DaimlerChrysler is in talks with Beijing Automotive Industry Corp. and other car makers to build Mercedes cars in China, according to Bloomberg News.

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Mercedes-Benz China president Peter Honegg told the news agency his company plans to build the Mercedes C-and E-class models in China.


“Mercedes-Benz will look at production projects in China that will fit the company’s overall Asian strategy,” Honegg reportedly said, declining to say when an agreement would be completed.


DaimlerChrysler is trying to catch up to rivals BMW and Volkswagen’s Audi, which are already in the world’s fastest growing car market, Bloomberg News said.


Mercedes-Benz China spokeswoman Irene Lo told the news agency the company is holding talks with Beijing Jeep Corp., a unit of Beijing Automotive, and other Chinese car makers.

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DaimlerChrysler owns 42% of Beijing Jeep, a two-decade old venture with state-owned Beijing Automotive, Bloomberg News added.