DaimlerChrysler said on Tuesday that it will invest €300 million to build a new body and paint shop at its cargo van plant, near Berlin, according to Dow Jones.

The work on the expansion of the plant in Ludwigsfelde, Germany, is for the production of the NCV3, the successor to the Mercedes Sprinter, the report said.

Construction, which begins in October, is due to be completed in August 2004 at the plant where DaimlerChrysler employs 1,500 people, Dow Jones said.