Mercedes-Benz has expanded its global assembly network further with the start of production of the GLA compact SUV at the Pune plant in India.

Production and supply chain chief Markus Schäfer said this is the first time Mercedes was producing compact cars across its global assembly network along with sedans and SUVs.

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“We are entering the next stage with our market-specific assembly, allowing us to serve local demands in a flexible and efficient manner according to highest quality standards.”

Other assembly plants are in Thailand, Vietnam, Malayasia, Indonesia, and, from 2016, Brazil where a new factory is currently under construction. Production at these sites, with local market specification variations and different production levels, is from CKD or SKD vehicle kits.

The GLA also recently entered local manufacture at the expanded Beijing Benz joint venture in China.

Pune’s capacity has been boosted to 20,000 units a year, the largest for any luxury car maker in India and the GLA is the sixth model series assembled there along with the S-, E- and C-Class plus GL and the M-Class SUVs.

To prepare for GLA production, synchronised conveyors, new assembly lines and a new roller tester were installed. Total spend at Pune since it opened in 2009 is EUR150m (US$168m).

Eberhard Kern, managing director and CEO Mercedes-Benz India, said: “Rolling out our first ever locally manufactured GLA and commencing production from India’s largest installed luxury car production facility are two very significant accomplishments for Mercedes-Benz. These accomplishments are a result of our long-term vision for the Indian market and our efforts towards creating a strong foundation for our business in India.”

Sales of the compact SUV in India tripled in the first quarter of 2015.

Mercedes-Benz Cars Operations is responsible for passenger car production or assembly at 26 locations around the world with 70,000 employees.

This includes the central functions of planning, technology, logistics and quality management. Including Smart, Mercedes-Benz Cars produced around 1,754,000 passenger cars last year, a fourth consecutive output record.

Each of several platform, vehicle type and powertrain production networks is grouped around a lead plant that provides support and training for the launch of new products, technology and quality assurance.