Fuzhou, China – Daimler AG, Fujian Motors Group (FJMG) and Taiwan-based China Motors Corp (CMC) laid the cornerstone for their Fujian Daimler Automotive Ltd (FJDA) joint venture in Fuzhou, China today, which will build Mercedes-Benz multi-purpose vehicles (MPVs).

Government officials, company executives, employees and the media participated in a ceremonial cornerstone laying event at the future site of the 660,000 square meter facility in Fuzhou city.

"Around this cornerstone we will form the foundation for the future of FJDA, as well as the foundation for the future of Daimler in southern China," said Dieter Zetsche, Chairman of the Board of Management of Daimler AG and Head of Mercedes-Benz Cars. "Mercedes-Benz Vito/Viano and Sprinter multi-purpose vehicles are extremely well-suited to meet the needs of businesses and families, who appreciate the quality and functionality of these versatile transporters. Fuzhou has the infrastructure, the people, the support of the government and the community, and provides an overall environment that encourages business. We appreciate the ongoing support of our partners and the community in helping bring this joint venture to fruition."

Over the next 10 years, the premium MPV / Transporter market in China is expected to grow to approximately 500,000 units annually, from around 200,000 today. At maximum capacity, FJDA will be able to produce up to 40,000 vehicles annually, but will be flexible enough to adjust volume and model mix based on demand.

"FJDA in Fuzhou is Daimler' s south China pillar," said Ulrich Walker, Chairman and CEO of Daimler Northeast Asia. "We are working very closely and productively with both FJMG and CMC and are looking forward to the first Mercedes-Benz van coming off the production line in 2009. Mercedes-Benz Vito/Viano and Sprinter are modern workhorses. They are known around the world for their capability and flexibility to transport people or cargo comfortably, reliably and efficiently. As China' s economy continues to expand, more and more consumers and businesses will need the reliable and economical transportation solutions that these vehicles provide."

"The cooperation between Fujian Auto and Daimler Group will comprehensively upgrade the technology, manufacturing, brand and quality level of Fujian Auto industry and her image through combining the leading advantages of Daimler Group," said Mr. Ling Yuzhang, the chairman of the board of Fujian Daimler Automobile Industry Co., Ltd. "Meanwhile Daimler can enlarge her market share and image in China by establishing the strategic partnership with Fujian Auto, which is a win-win collaboration. Today it is the historic moment for Fujian Auto, CMC and Daimler. The cornerstone ceremony of Fujian Daimler symbolizes the last but very important layout in China van market, which will create enormous influence on development of Fujian Auto industry and manufacturing industries."

" We have a great team in Fuzhou and everyone is focused on building a world-class facility with world-class products," said Harald Hauke, FJDA CEO. "Fuzhou-based employees have already participated in training in Vitoria, Spain, where we produce the Mercedes-Benz Viano and Vito, in order to make sure we meet the high international standards of Mercedes-Benz when production starts. We appreciate the strong support of our partners and the central, provincial and local governments."

FJDA' s manufacturing facility includes body, paint and assembly areas, totaling 660,000 square meters, including 33 robots. FJDC has currently 280 local employees, but will ramp up to 2,800 employees after production starts, which is scheduled for mid-2009. On a two shift operation, the facility will have the capacity to produce up to 40,000 units annually.

Just like all the plants which produce Mercedes-Benz vehicles around the world, FJDA uses the Mercedes Production System (MPS) which is designed to ensure top quality through a rigorous series of tests and checks. The MPS operates on the philosophy of continuous improvement and creates the most favorable conditions throughout the supply chain to ensure that high standards are consistently met with every vehicle. It is also designed to be lean and efficient, balancing the amount of supplier inventory on the production line, as well as the production processes at each individual station.

Fujian Motor Industry Group Co., Ltd. (FJMG) located in Fuzhou, Fujian Province, is not only the core of Fujian auto industry directly managed by Fujian Government, but also the official production base of cars, heavy, medium and light vans, as well as the heavy and medium trucks in China. FJMG mainly specializes in investment of auto projects and manufacturing, R&D and trading service of automobile and parts and components. FJMG owns more than 10 wholly-owned, holding and shareholding companies with over RMB 2 billion fixed assets and 7000 staffs. In 2006 the sales income reached to RMB 14.72 billion with sales and refitting of 103557 cars.

China Motor Corporation (CMC) is a publicly traded company of the Yulon Group of Companies headquartered in Taipei, Taiwan. CMC, one of Taiwan's automotive market leaders, produces a full range of passenger cars, multi-purpose vehicles, light, medium and heavy duty trucks at its facilities in Yang Mei, and other locations in Taiwan. For 8 of the past 10 years, CMC was the number 1 manufacturer in Taiwan in market share and volume.