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May 20, 2021 12:01 AM

Mercedes bets on digitization, factory flexibility as EQS output begins

Sindelfingen plant is first to use digital production system

Nathan Eddy
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    Mercedes EQS production in Germany.jpg
    DAIMLER

    An EQS is pictured leaving the production line at Mercedes' Sindelfingen plant, near Stuttgart.

    Mercedes-Benz has begun production of the EQS at its plant in Sindelfingen, near Stuttgart, where the flagship full-electric sedan will be made alongside hybrid and combustion-engine models.

    It is the automaker's first factory to fully implement the MO360 digital production system, Mercedes production boss Jörg Burzer said.

    The system is key to managing the highly complex and flexible factory, which is controlled through 5G connectivity.

    "A fast data network enabled by 5G and the ability to use it for exact location definition for parts is supporting us in mastering this complexity," Burzer said. "We are convinced we can master the challenges of complexity in assembling all three powertrain variants with sophisticated digitalization tools, and the very fast data transfer from the cloud to the device and the worker, and also from the devices and the parts and logistics system into the cloud."

    Burzer said the process of uniting the vehicle body with the drive system would be carried out at several modular stations plant, which Mercedes parent Daimler calls Factory 56, allowing different powertrain variants to be connected to the respective vehicle bodies on the same line.

    "Compared to S-Class production before, we calculate that we can boost efficiency by 25 percent, in part through digitalization," Burzer said. "It is possible to increase the utilization of the plant."

    The production chief said the company plans to introduce a third shift of S-Class production at Sindelfingen in late June to early July to cope with strong market demand.

    By 2022, the automaker aims to build a total of eight EQ electric vehicles at seven locations on three continents.

    DAIMLER

    Daimler's Factory 56 can assemble different models and drive types on one line. The picture shows the Mercedes EQS having its electric drivetrain and body put together.

    Untertürkeheim plant to become EV hub

    Mercedes is transforming its drive systems unit and its Stuttgart-Untertürkheim site for an "Electric First" future in the context of Ambition 2039 -- the company's path toward carbon neutrality.

    The company plans to invest a three-digit million euro amount into the transformation of the site.

    Untertürkheim will become the so-called "Mercedes-Benz Drive Systems Campus" with focus on production, R&D and production ramp-ups of drive systems. The site will be a campus for electrified powertrains focusing on battery, battery cell and electric drive technology.

    "From the raw material to the finished battery product, we have extensive know-how, and we understand with each and every production step how to master the challenge of electric mobility," Burzer said. "We have a competitive setup with our supplier for battery cells. One of the key topics that enable the EQS to have this range of more than 700 kilometers is this special relationship."

    DAIMLER

    Car bodies are pictured in Sindelfingen.

    Chip shortage

    Burzer said the automaker was working with Tier 1 suppliers to manage the shortage of semiconductors.

    The manager said that a decision on serial production of battery cells would be evaluated in the coming weeks and months.

    "Innovation cycles of battery cells will be extremely fast in the next couple of years. We will see what happens," he said. "This is obviously one of the most important questions we have to answer."

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