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Daimler AG

Mercedes-Benz has finalized the planning for a regional After-Sales Logistics Centre in Malaysia which will start operations from 2024.The German carmaker has signed a long-term lease agreement for the location and will partner with Tiong Nam Logistics Solutions Sdn Bhd to establish the new facility in Senai Airport City outside Johor Bahru.

The warehouse size of the planned location will be approximately 1,000,000 square feet. The building management system of the new warehouse will be equipped with the latest storage and material-handling systems. Operation of the facility will be by Mercedes Benz Parts Logistics Asia Pacific (Malaysia) Sdn. Bhd, a 100% subsidiary of Mercedes-Benz AG.

Part of global supply chain network
The new distribution centre will be a part of the global Daimler AG After-Sales Supply Chain Network and will serve as a distribution site for spare parts in the Asia-Pacific region and other countries. It will take care of the importation, the storage as well as the regional management of spare parts and accessories distribution.

“With our planned After-Sales Logistics Centre, Mercedes-Benz is committed and will invest to strengthen our foothold in Malaysia. We have found excellent conditions and great support in cooperation with MIDA and the related ministries. Located strategically in Johor Bahru, this new After-Sales Logistics Center will enable us to reaffirm our position as a global and regional distribution hub whilst creating new jobs for the region. Both our customers and our dealer networks will enjoy a good service and high-quality standards through this new infrastructure,” said Thomas Schulz, Vice President Global Service & Parts Operations.

Historically strategic location 
Historically, Singapore’s location at the southern tip of the Malayan peninsular has made it a strategic point for trade. It served as an ideal transit point between East Asia and Europe, and even Australia, hence its development as a bustling trading port. Over the years, while Singapore has been an obvious choice for regional storage by various companies, nearby Johor has also become attractive for logistics activities.

Parts from the regional facility are sent to dealers for use at authorised service centres or for retail sale.

In 2003, the BMW Group moved its regional parts storage facility from Singapore to the Port of Tanjung Pelepas (PTP) in Johor and then in 2017, it again relocated the facility to an industrial zone adjacent to Senai Airport. The facility is a logistics warehouse and parts distribution centre serving over 20 countries.

The Volkswagen Group likewise moved its regional parts facility from Singapore to PTP in 2016. It stores tens of thousands of parts for the Volkswagen, Audi, Skoda and Volkswagen commercial vehicle brands of the German group for distribution to over 20 markets.

Having a storage facility in Johor (or Singapore) is useful for the carmakers as it can speed up deliveries to customers on this side of the world. Customers will benefit as delivery times can be shortened compared to having them come all the way from Europe.  The proximity to the airport as well as the port also mean that logistics can be more efficiently managed.

Upgraded Mercedes-Benz Autohaus in Johor Bahru enhances retail experience for C&C customers

Vaccination does not make you immune to COVID-19 infection. You can still get infected and although you may not show symptoms, you could spread the coronavirus to others. Do not stop taking protective measures such as wearing a facemask, washing hands frequently and social distancing.

Mercedes-Benz is getting ready to go all electric by the end of the decade – but only where market conditions allow. The carmaker, like a few others, understands that there will be some markets where electrification may not be sufficiently wide and conventionally powered vehicles will still be in demand.

Mercedes-Benz began in journey to electrification some years back and by 2022, it will have battery electric vehicles (BEV) in all segments which the brand competes in. From 2025 onwards, all newly launched vehicle architectures will be electric-only and customers will be able to choose an all-electric alternative for every model the company makes.

“The EV shift is picking up speed – especially in the luxury segment, where Mercedes-Benz belongs. The tipping point is getting closer and we will be ready as markets switch to electric-only by the end of this decade,” said Ola Kallenius, CEO of Daimler AG and Mercedes-Benz AG. “This step marks a profound reallocation of capital. By managing this faster transformation while safeguarding our profitability targets, we will ensure the enduring success of Mercedes-Benz. Thanks to our highly qualified and motivated workforce, I am convinced that we will be successful in this exciting new era.”

To facilitate this shift, Mercedes-Benz has a comprehensive plan which includes significantly accelerating R&D. In total, investments into battery electric vehicles between 2022 and 2030 will amount to over €40 billion. Accelerating and advancing the EV portfolio plan will bring forward the tipping point for EV adoption.

The Technology Plan
In 2025, Mercedes-Benz will launch three electric-only architectures – MB.EA, AMG.EA and VAN.EA. These will cover a broad spread of products, including those in the commercial vehicle sector. MB.EA will be for all medium to large size passenger cars, establishing a scalable modular system as the electric backbone for the future EV portfolio. AMG-EA, as the three letters hint, will be a dedicated performance electric vehicle platform, while VAN.EA will usher in a new era for purpose-made electric vans and Light Commercial Vehicles.

The eATS is the engine unit of electric vehicles. The eATS consists essentially of the three subsystems: an electric motor, its power electronics and the transmission part for power-transmission.

After reorganising its powertrain activities to put planning, development, purchasing and production under one roof, Mercedes-Benz will deepen the level of vertical integration in manufacturing and development, and insource electric drive technology. In-house electric motors, such as the eATS 2.0, are a key part of the strategy with a clear focus on efficiency and the overall cost of the entire system. China, the world’s largest new energy vehicle market, which is home to hundreds of companies and suppliers specialized in EV components and software technologies, is expected to play a key role in accelerating the Mercedes-Benz electrification strategy.

Ensuring supply of batteries
To ensure that there will be an assured supply of batteries, Mercedes-Benz will need a battery capacity of more than 200 Gigawatt hours. This calls for setting up 8 Gigafactories for producing battery cells, and is in addition to the already planned network of 9 plants dedicated to building battery systems.

Battery production is a very important part of electrification since batteries are needed in every vehicle. Mercedes-Benz has already established a network of battery production sites around the world, with the one in Thailand (below) having started operations in 2019.

Mercedes-Benz battery pack production in Thailand

Next-generation batteries will be highly standardized and suitable for use in more than 90% of all Mercedes-Benz cars and vans while being flexible enough to offer individual solutions to all customers. Cell production will give Mercedes-Benz the opportunity to transform its established powertrain production network. By continuously integrating the most advanced battery cell technology in cars and vans, Mercedes-Benz aims to increase range during the production lifecycle of a model.

The recharging network
For EV owners, the issue of recharging is an important one and unless they can be assured of a convenient and widespread network, switching to an EV will not be readily considered. In this area, Mercedes-Benz is also working on setting new standards in charging that will allow customers to plug-in, charge and unplug without extra steps needed for authentication and payment processing.

As for networks, Mercedes me Charge is already one of the world’s largest charging networks and currently has more than 530,000 AC and DC charging points worldwide. Mercedes-Benz is also working with Shell on expanding the charging network which will have over 30.000 charge points by 2025 in Europe, China, and North America.

Mercedes-EQ EQS – the first luxury EV limousine

The Unimog by Mercedes-Benz is a true go-anywhere all-terrain vehicle, born over 70 years ago and sold in 30 countries. At least 400,000 units have been sold to date, used for all sorts of transportation in extreme conditions.

When it comes to scientific expeditions in all places and climates around our planet, the Unimog would be ideal, as an expedition team believed. The 10-strong team had a task to install 4 emergency radio units at various high-altitude camps at a volcano known as Ojos del Salado in Chile. In an emergency, each of the units can be used to create a radio connection with the 3 other base camps of the Ojos del Salado. This system will improve the safety both for mountaineers and scientific researchers.

Mercedes-Benz Unimog

Ojos del Salado in Chile
Ojos del Salado in Chile

The volcanic mountain measures 6893 metres and is thus the tallest active volcano on earth. It is within the Atacama Desert – one of the driest places on earth and part of the Pacific ‘Ring of Fire’ which has many active volcanos and earth movements.

Customised for the extreme conditions
The team was supported by Mercedes-Benz Special Trucks which provided two Unimog U 5023 vehicles of the latest generation. These were configured to carry the expedition team and all of their equipment required to the extreme altitudes. To ensure that the vehicles were ready to tackle any challenges, both trucks were equipped with special tyres, strong winches and special bodies with variable centre of gravity balancing developed by the specialists at the Unimog Museum, Unimog bodybuilder AS Soder, and engineers from the Unimog development team.

Mercedes-Benz Unimog

Mercedes-Benz Unimog

Absolute world record set
After the team made it to the high-altitude camp at 6,100 metres and had completed the installation of the fourth emergency radio unit there, they set about achieving another milestone: breaking the altitude record for wheeled vehicles. This was with one of the two trucks which reached an altitude of 6,694 metres – no vehicle has climbed to such heights before anywhere around the world.

The team didn’t just beat the record set with a Mercedes-Benz Zetros in 2014 but they also set the absolute world record for a wheeled vehicle driving at altitude. According to the head of the expedition, both vehicles ‘mastered the extremely steep and rocky passages, thanks to a combination of the best, reliable technology, a balanced centre of gravity and amazing tyre technology to bring the materials and equipment to these enormous heights. At no point in time around the world have motorised altitude expeditions taken two trucks simultaneously to such an altitude’.

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Mercedes-Benz AG and China’s Zhejiang Geely Holding Group have formally established a global joint venture company to handle the German carmaker’s smart brand. Pending regulatory approvals, the company will have its global headquarters in Hangzhou Bay, Ningbo with operational sales functions in both China and Germany.

The total registered capital of the joint venture will be 5.4 billion RMB (about RM3.18 billion) to transform smart into a leading player in premium-and intelligent electrified vehicles. Both parties will equally contribute equally, with the share of Mercedes-Benz mainly covered by the contribution of the smart brand.

Mercedes-Benz and Geely Holding gründen ein globales Joint Venture zur Weiterentwicklung von smart Daimler and Geely Holding form global joint venture to develop smart
A signing ceremony in March 2019 marked the beginning of establishing the joint venture to produce and market smart cars.

New EV model to be produced in China
A new generation of smart electric models will be assembled at a new purpose-built factory in China with global sales due to begin in 2022. The new generation will be designed by the worldwide Mercedes-Benz Design network and developed by the Geely global engineering network. As part of the vehicle-development program, the smart product portfolio will be extended into the fast-growing B-segment that are in line with smart’s brand positioning with a focus on pure premium electric and connected vehicles.

“The joint venture will bring the next generation of zero-emission smart electric cars to the Chinese and global markets. We look forward to continue our collaboration to bring desirable products and services to customers around the world,” said Ola Kallenius, Chairman of the Board of Management of Daimler AG and Mercedes-Benz AG.

smart

Boardroom composition
The board of directors of the new joint venture will be made up of 6 executives with equal representation from both parties. On the German side, representatives will be from Daimler AG and Mercedes-Benz AG. Geely board representatives will include Geely Holding Chairman Li Shufu, Geely Holding President, Geely Auto Group President & CEO An Conghui, Geely Holding Executive Vice President & CFO Daniel Donghui Li.

Tong Xiangbei has been appointed the new global CEO of the smart joint venture and will oversee all operations relating to the brand including sales, marketing, R&D, production and after sales. Tong has more than 2 decades of experience in the automotive industry. Before joining the smart joint venture, he has worked for global automotive companies in the USA and in China.

smart
Production line at the smart factory in France.

“The smart brand has a unique value and global influence; it has grown to be a leader in urban mobility. Geely Holding will fully support the smart brand with its full advantages in R&D, manufacturing, supply chain and other fields into the joint venture and support its development in China and globally. We will work together with Mercedes-Benz to transform the smart brand into a leading player in urban premium, electric and connected vehicles to successfully develop the brand’s global potential,” said Li Shufu.

History of smart
The story of smart cars goes back to the early 1980s when Nicolas Hayek, the CEO of the company making Swatch watches, had an idea to apply the same concept of personalisation to making and retailing cars as what was done for the watches. Initially, Volkswagen was involved in the project but Hayek later tied up with Mercedes-Benz. By 1996, the German carmaker took control of the company making smart cars and embarked on a more aggressive growth plan.

smart

smart cars

2005 smart fortwo
First generation of the smart fortwo was sold in Malaysia for a while.

The little smart cars found a niche as city cars but due to having to meet the demanding and high standards of Mercedes-Benz in the safety, they were not cheap. The brand also did not contribute profits and in fact, lost a huge amount of money.

However, Mercedes-Benz didn’t give up and modernised the factory in France to be more productive and cost-efficient. The third generation started rolling out in 2015 and is sold in over 40 markets worldwide. To date, 2.2 million cars have been sold since 1998.

Geely Auto retains No.1 Chinese brand position for third consecutive year

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Cycle & Carriage Bintang Berhad has achieved a remarkable feat, scoring a perfect score of 100% for the second time, in Daimler AG’s stringent ‘Centre of Competence’ certification for its Batu Caves Body & Paint (B&P) Facility in Kuala Lumpur. The company, which has been associated with Mercedes-Benz since 1951, also achieved 98% and 96% for its Johor Bahru and Bukit Tengah facilities, respectively.

“Our network of Body & Paint repair facilities scoring above the global median is the result of Cycle & Carriage’s investment into our people, sites, and systems. With Daimler AG’s stringent evaluation criteria, the excellent performance that our facilities continue to demonstrate is a testament that we are moving in the right direction in support of Mercedes Benz customers in this country. We are honoured to receive this certification from Daimler AG, and we intend to continue excelling in the delivery of premium automotive experiences to our customers,” said Cycle & Carriage CEO, Wilfrid Foo.

Cycle & Carriage Batu Caves is an authorised B&P Repair Facility with the expertise to conduct structural repairs on Mercedes-Benz vehicles while upholding global safety standards to provide customers peace of mind.

C&C B&P Centre Batu Caves

Handling up to 130 vehicles monthly
Covering over 45,000 sq ft with 22 body and paint work bays, the facility has the capacity to service up to 130 vehicles every month. Meanwhile, the Johor Bahru and Bukit Tengah facilities collectively have 20 body and paint work bays and the capacity to service 120 vehicles every month. Cycle & Carriage currently has the largest network of Daimler AG certified B&P Repair Facilities in Malaysia.

Obtaining the ‘Centre of Competence’ certification involved an evaluation on Cycle & Carriage’s workshop equipment for both, body repair and paint areas, auxiliary material, repair processes and administration practices. To remain up-to-date with the latest automotive innovations and technologies, Cycle & Carriage employees undergo regular up-skilling training at the Mercedes-Benz Malaysia Training Academy.

M-B Training Academy
Mercedes-Benz Malaysia has a Training Academy in Glenmarie, Selangor which provides regular up-skilling training so technicians stay abreast of latest technologies.

Globally certified technicians
“Representing a marque brand that is a beacon of automotive excellence, we are proud to match this with exceptional after care service and expertise. Our facilities are home to state-of-the-art tools, globally certified and skilled technicians equipped to restore and care for an extensive range of Mercedes-Benz vehicles in Malaysia. This reflects Cycle & Carriage’s complete ecosystem that takes care of our customers every step of the way,” said Mr. Foo.

“Congratulations to the dynamic team at Cycle & Carriage Batu Caves, Johor Bahru and Bukit Tengah for constantly raising the benchmark of retail and service, going the extra mile to understand and meet our customers’ needs. This is the backbone of ‘Exceptional Journeys’ we promise customers,” he added.

BHPetrol

Another high point in 120th year
This certification is another feather in the cap for Cycle & Carriage as it continues its year-long 120th anniversary celebration. The celebration kicked into high gear recently, with the premium automotive retail and aftersales leader taking time to record its appreciation for the years of loyalty and dedication from employees at a special townhall session and simultaneous movie screenings at locations in the Klang Valley, Ipoh, Penang and Johor.

C&C
Cycle & Carriage has been in business for 120 years and brought the Mercedes-Benz brand to Malaysia in 1951. It also began local assembly of the German cars in 1965.

“Our people have laid a solid foundation over the years, forming the bedrock of the Cycle & Carriage heritage. We continue to empower our people to experience growth and fulfillment both professionally and personally. Empowered employees go on to deliver the genuinely Exceptional Journeys our customers experience and associate with our Cycle & Carriage identity,” explained Mr. Foo.

The company’s passion in empowering people extends into uplifting marginalised youth by promoting the Technical and Vocational Education and Training agenda. Cycle & Carriage announced its inaugural Cycle & Carriage Study Grant Programme this year, a grant to help youth from low income Malaysian families gain access to quality technical and vocational education. Furthermore, Cycle & Carriage also donated computer equipment for the benefit of vocational institute, Montfort Boys Town’s Computer Maintenance Programme trainees earlier this year. Cycle & Carriage’s involvement in the social development of the local community is an indicator of its commitment to the community in Malaysia.

Commemorating its 120-year legacy in premium automotive excellence, Cycle & Carriage also launched a regional campaign to give away 120 exceptional journeys of specially curated trips to three enticing destinations: Mongolia, Nepal and Korea. The campaign embodies the brand’s commitment to deliver exceptional people-focused experiences.

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They’re arch-rivals in the global marketplace but when it comes to collaborating, it’s a different matter. Given how expensive R&D costs are, carmakers often decide to work with selected partners or even form consortiums so that the costs can be shared. Each one may bring certain areas of expertise to the collaboration as well, reducing duplication and cost.

Daimler AG and BMW Group have recently announced their cooperation on automated driving as a long-term strategic move. This will focus on joint development of next-generation technologies for driver assistance systems, automated driving on highways and automated parking (all to SAE Level 4).

In addition, further talks are planned to extend the cooperation to higher levels of automation in urban areas and city centres. This underscores the long-term and lasting nature of the undertaking, which will extend to encompass a scalable platform for automated driving. The non-exclusive cooperation is also open to other carmakers and technology partners, with results being made available to under license if they want to use the technologies.

Swift market launch
A key aim of the cooperation is the swift market launch of the technology, expected to feature in passenger car systems for private customers from 2024. The two companies will each implement the technologies in their respective products independently.

The cooperation will see more than 1,200 specialists working together, often in mixed teams based at locations of both companies. Efforts will focus on developing a scalable architecture for driver assistance systems, including sensors, as well as a joint data centre for data storage, administration and processing, and the development of functions and software.

Along with Aptiv, Audi, Baidu, Continental, Fiat Chrysler, HERE, Infineon, Intel and Volkswagen, the BMW Group and Daimler have published a white paper entitled ‘Safety First for Automated Driving’. As well as covering all relevant safety methods for Level 3/4 SAE automated driving, the paper introduces a traceability system, which extends from the primary goal – being safer than the average driver – right down to the individual safety objectives of the various components.

Current development by both companies
Daimler AG has been working on series development projects not only for specific Level 3 vehicles but also for Levels 4 and 5. Long a leader in active safety systems, it programmed its systems largely in-house right from the very beginning.This year will see the launch in San Jose, California, of its first pilot programme, with Bosch, on self-driving vehicles (Levels 4/5) in urban environments.

This will be the next milestone within the existing cooperation between both partners and the cooperation will continue as planned. Early in the next decade, Daimler will bring to the market not only highly automated (Level 3) vehicles but also fully automated (Level 4/5) vehicles. It is the only carmaker in the world to be so well-positioned to apply autonomous driving in every relevant context, from passenger cars and vans to buses and trucks, and is therefore relying on scalable solutions to deliver automated driving.

The BMW Group has developed technology with unique scalability from Level 2 – 4 that both enables a high level of flexibility and ensures it will be viable in the future. Around the world, more than 70 test vehicles are testing the latest technology, collecting data in order to improve machine learning with artificial intelligence through simulations. The generation of technologies that is currently under development will go into production as Level 3 automation in 2021 in the BMW iNEXT where it will also be Level 4-enabled for pilot projects.

Reproduced in its un-edited entirety below, Piston.my has just received this notice:

PROPOSED DISPOSAL OF 49.00% EQUITY INTEREST IN MERCEDES-BENZ MALAYSIA SDN BHD (“MBM”) TO DAIMLER AG (“DAG”) 
Cycle & Carriage Bintang Assures Business Continuity and Commitment to Providing Exceptional Services

Cycle & Carriage Bintang Berhad (“CCB” or “the Company”) wishes to announce that it has, on 30 November 2018 (“Exercise Date”), received a notice from DAG that they are exercising their call option over 66,003,000 shares (“MBM Shares”) of MBM currently held by CCB. Pursuant to the exercise of such call option, the Company will be obliged to sell the MBM Shares to DAG (or such persons as DAG may nominate) for a consideration of RM66,003,000 (the “Disposal”) and will henceforth cease to be entitled to the annual dividend of approximately RM11.2 million even when MBM declares a dividend. Following the Disposal, CCB will cease to hold shares in MBM. Completion of the Disposal will take place 12 months from the Exercise Date.

CCB’s Chief Executive Officer, Mr Wilfrid Foo, says “Cycle & Carriage Bintang would like to assure all our customers that the recent decision by Daimler AG to exercise their call option on the company’s holding in Mercedes-Benz Malaysia will not impact our commitment or ability to continue delivering exceptional experiences to our customers across our nationwide dealerships in Malaysia. All dealerships will continue to provide you with quality sales and aftersales services in accordance with the strictest Mercedes-Benz quality standards supported by Mercedes-Benz Malaysia.”

CCB has a longstanding relationship with Mercedes-Benz for over 50 years and wishes to reiterate that the Disposal will not directly impact any of its trading operations, trading performance or its support of customers. CCB is a leading Mercedes-Benz dealer group in Malaysia, with 13 sales and aftersales facilities across the country to serve Mercedes-Benz customers. It is committed to being the partner of choice of MBM and Mercedes-Benz customers alike, and will continue to work alongside MBM to grow the Mercedes-Benz brand in Malaysia’s luxury car segment.

Further details in relation to the Disposal can be found in the Company’s announcement to Bursa Malaysia dated 3 December 2018.

It has been announced that Cycle & Carriage Bintang Berhad (Cycle & Carriage Bintang) now has the largest network for certified body and paint collision repair facilities in Malaysia, following Daimler AG’s certification of the Cycle & Carriage Johor Bahru, Bukit Tengah and Batu Caves facilities as official Mercedes-Benz Body and Paint Centres. Cycle & Carriage Bintang’s customers in the Northern and Southern region, as well as the Klang Valley, can now enjoy peace of mind and confidence when restoring their Mercedes-Benz vehicles.

“In everything we do, we have our customers in mind at all times. The ‘Centre of Competence’ certification is an assurance that all Cycle & Carriage body and paint repairs are carried out according to the stringent global specifications set by Mercedes-Benz. Having three of our body and paint facilities awarded the certification is an impressive achievement. It reflects the quality of our after-sales teams who deliver our signature first class service to customers every step of the way,” said Cycle & Carriage Bintang CEO, Wilfrid Foo.

In early 2017, Cycle & Carriage’s Johor Bahru and Bukit Tengah service centres underwent an extensive facility and equipment upgrading process. In tandem with this, employees received specialised technical training and service process enhancement. Following which, both outlets were audited in the same year as part of the certification process, and were awarded the ‘Centre of Competence’ certification by Daimler AG. The Johor Bahru service centre spans over 32,000 sq ft and is equipped with 14 body and paint work bays, while Bukit Tengah is over 14,000 sq ft with five body and paint work bays.

Cycle & Carriage Bintang Batu Caves, the centralised body and paint collision repair centre for the Klang Valley, was first awarded the certification by Daimler AG in 2012. As part of the certification process, a re-audit was scheduled in November 2017. The Batu Caves Service Centre achieved the perfect score of 100 percent and is now recognised by Daimler AG as one of the highest-ranking centres for collision repairs in the world. Spanning over 45,000 sq ft with 22 body and paint work bays, the facility has the capacity to service 130 vehicles every month.

Cycle & Carriage Bintang’s network comprises 12 Autohauses nationwide which includes 10 After-Sales Autohauses across Malaysia. In 2016, Cycle & Carriage Bintang was awarded all top three spots in the Mercedes-Benz Malaysia Service Excellence Award in South East Asia for demonstrating strong aftersales standards. More recently, Cycle & Carriage Bintang received the highest Mercedes-Benz Malaysia Customer Satisfaction Index (CSI) rating for after sales for the second half of 2017 in Malaysia, with Cycle & Carriage Bintang (Northern) Sdn Bhd Bukit Tengah announced as the Champion in the competitor benchmark study.

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