Daimler plans to expand operations at its new plant in Hungary to double annual production to 300,000 vehicles by 2015, according to a report in the business newspaper Napi Gazdasag which cited unnamed sources familiar with the project.

A Daimler spokesman said that it is possible to expand the assembly line but no decisions has been taken yet.

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The EUR800m (US$990m) plant in Kecskemet, 100km (60 miles) southeast of Budapest, started production of the Mercedes B class in March this year. It is one of the biggest foreign investments made in Hungary in recent years.

Daimler has said that it intends to add production of a new coupe from next year and the newspaper reported that trial production of this model has already started at Kecskemet.

It added that capacity expansion could start next year and that Daimler had already started negotiations with the Hungarian government about the project.


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