FRANKFURT, 7.9 Reuters) - German carmaker Daimler plans to a new Mercedes plant in Brazil will benefit from the growing demand for small cars in the country to build, a German newspaper said Chief Executive.
Stuttgarter Zeitung quoted the luxury carmaker CEO Dieter Zetsche said Daimler draws it had nominated this year between two or three sites for the plant in Brazil.
He told the daily Saturday Edition, it was not profitable to export small cars in Brazil.
"With the new compact class that we have cars on offer, which are attractive and can be produced at a low cost, making them a good fit for this market", Zetsche said.
"It was just a matter of be produced in Brazil or not exist even in this segment." Our decision is: we want to be. "
Zetsche will not be built on the model there. Daimler defines the compact class as consisting of a-class, B-class as well as the GLA and CLA models.
Daimler said last month it was considering such a move but no decision was taken.
Luxury carmakers flock to Brazil in an attempt to take advantage of the growing demand. Brazil's Government complicated their plans, but with an effort by raising a tax on foreign cars last year to protect local jobs.
Brazil's auto industry lobby group on Thursday raised, the 2013 production Outlook helped by export, mainly to the United States.
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