Strong euro forces action.

Automotive News Europe,  December, 2004  by Thisdell, Dan

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Byline: Dan Thisdell

European automakers and suppliers are shifting production and are hedging currencies to cope with the US dollar's sharp decline against the euro.

Volkswagen, Mercedes-Benz and BMW already are building vehicles in North America, but each is further expanding capacity or seriously considering it (See stories, Pages 3, 14 and 20).

Mercedes will double US capacity to 160,000 units. VW plans to build 200,000 Boras a year in Mexico and ship 60,000 to Europe. And VW will export the low-price Fox to Europe from Brazil.

More currency volatility encourages a ...

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