Mercedes-Benz contract promises jobs growth for QLD manufacturer

Queensland automotive accessories manufacturer EGR has signed a global contract to supply parts to the Mercedes-Benz X-class.

The vehicle is due to be released early next year in Australia, where utilities account for 20 per cent of new vehicle sales.

EGR will manufacture accessories for the vehicle, including canopies and hard tonneau covers, at its facility in Brisbane.

“This is a real feather in EGR’s cap,” said Simon McLellan, CEO of EGR’s Automotive Division.

“Mercedes-Benz spent six months and an exhaustive tendering process searching the world to identify accessories suppliers capable of matching their quality requirements.

“While EGR couldn’t compete on price compared with some Asian and European suppliers, Mercedes-Benz chose to go with us for quality – and quality is obviously critical for one of the world’s most prestigious automotive brands.”

The dual-cab 4×4 X-class will be marketed as the world’s safest ute with a range of sophisticated driver assist systems.

EGR has included additional engineers and CAD operators to work exclusively on developing the external accessories for the vehicle and more positions will be created on the factory floor once production begins.

“At a time when Australian manufacturing is in decline, EGR is pleased to be able to prove that companies here can continue to be competitive in a global market if they can add value,” McLellan said.