Daimler AG announced today that they have chosen Kecskemet, Hungary, for its new plant that will focus on building entry-level Mercedes-Benz cars. Mercedes-Benz plans on increasing its entry-level option from two to four models with the next-generation A-Class and B-Class.

No engine details on the SUV are available as of yet, but according to previous reports the car will be built on the A-Class/B-Class platform and will be positioned under the upcoming GLK and with pricing to be around £22,000 ($43,061 USD). 

Rumor has it that Mercedes-Benz will also build a new compact entry-level coupe at the plant

Daimler plans on investing 800 million euros into the new plant and says it will create around 2,500 jobs.

Source: Automotive News (Subscription Required)