Mercedes-Benz pauses investment in Germany, considers shutting down factories.

German automaker Mercedes-Benz said on November 12 that it has decided to freeze all further investment in its production facilities in Germany and is considering shutting down plants in response to competitive pressure. Michael Schiebe, a member of the Mercedes-Benz Board of Management responsible for Production, Quality and Supply Chain Management, said that given the current cost structure, investing in Germany is no longer viable, and the company's Executive Board has jointly decided to suspend all further investment in German plants. According to dpa, German labor costs are in some cases five times those of Eastern European plants, with a similar gap in administrative costs.