According to a Dow Jones report, DaimlerChrysler AG on Wednesday said it is in talks to assemble Mercedes-Benz cars in Iran from CKD kits imported from Germany as part of a global expansion.

However, no firm decisions have been made, DaimlerChrysler spokesman Stephan Oeri told the news agency.

According to Dow Jones, Oeri declined to confirm a report by French news agency Agence France-Presse which said the German-American car maker’s potential partner is Iranian vehicle builder Iran Khodro and that they would build around 2,500 to 3,000 cars.

According to Dow Jones, Mercedes-Benz chief executive Juergen Hubbert said last month that Mercedes expects to reach a deal by the end of 2003 on assembling cars from imported kits in China. It already does so in Egypt, Malaysia, India and other countries, Dow Jones added.

Spokesman Oeri told the news agency Mercedes was considering production from CKD kits in many locations worldwide.