Foreign-made autos have been a main focus of President Donald Trump's global trade war. In early April, the Trump administration implemented 25% tariffs on vehicle imports.
Mercedes' GLC is built at the Bremen, Germany, plant, which has 10 total models.
A Mercedes spokesperson said Monday that "no significant changes to the average total production figures in Bremen are expected in the medium term. Bremen will still produce the GLC for the rest of the world," and the Alabama plant "will localize GLC production for demand in North America."
The move will expand production at the Alabama plant, the automaker's hub for its SUVs, including the GLE, GLS, GLE Coupe, and Maybach GLS.
Mercedes executives on a Monday call with media did not say how much the automaker will invest to build the GLC at the southern plant since it is still in planning phases.
