German automaker Daimler AG says its Mercedes-Benz luxury brand plans to assemble cars in Egypt in cooperation with a local partner.
Daimler said it signed a memorandum of understanding Monday with the Egyptian government. The company said local production would improve the company's market position and contribute to stabilizing the country's economic environment.
The Mercedes-Benz executive for production and supply chains, Joerg Burzer, said local assembly would mean the company could "structure our production network even more flexibly and efficiently and respond even better to the needs of our customers."
The company's announcement didn't name the local partner or say how many cars would be produced annually.
Daimler already supports around 1,000 jobs in Egypt directly and indirectly through Mercedes-Benz Egypt S.A.E., which handles sales and replacement parts.