Mercedes Takes on Tesla With New U.S. Battery Plant, Electric SUV

Mercedes Takes on Tesla With New U.S. Battery Plant, Electric SUV
The logo of Daimler's Mercedes-Benz luxury-car division is pictured on the roof of a building in Moscow, Russia on April 5, 2016. Maxim Shemetov/Retures
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TUSCALOOSA, Ala.—Mercedes-Benz AG opened its first U.S. electric vehicle (EV) battery factory on Tuesday and said Japanese battery maker Envision AESC would supply battery modules for U.S.-made Mercedes EVs from a new U.S. plant by the middle of the decade.

Alongside the launch of its Bibb County, Alabama battery plant, Mercedes also previewed a large electric SUV to be built at the nearby Tuscaloosa, Alabama assembly facility this year.