Under the contract, Mercedes-Benz guarantees to import a minimum of three million cars, bound for dealers in the Midwest, through the port during the original term of the deal, which also includes two 10-year options.
Mercedes has used Baltimore as a point of entry for its vehicles since 1965. Mercedes has a facility at the Dundalk Marine Terminal and a processing facility in Bellcamp, Md., in the northeast part of the state, Maryland Port Administration spokeswoman Darlene Frank said.
Mercedes will now consolidate its receiving and final delivery preparation operations on 104-acres at the Fairfield Auto Terminal, shared with other auto manufacturers. Mercedes will occupy an area that includes a former Toyota terminal, Frank said. Once the new terminal is fully operational, Mercedes expects to import 160,000 cars per year through Baltimore.
Mercedes preps its own vehicles rather than outsourcing that function to a specialty company like AMPORTS In September, Jaguar signed a three-year contract to import its luxury vehicles through the port, where they are processed dockside by AMPORTS.
The Mercedes deal, the largest lease ever between an auto manufacturer and the port, is worth at least $61.6 million in lease and wharfage fees for the state, apart from $3.6 million in state and local taxes, according to the MPA announcement.
The Port of Baltimore is the second-largest handler of automobiles in the country. Last year 543,597 cars cycled through the port, an increase of 24 percent from 2002.
Brokerage Compliance Symposium
The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.
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The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowThe night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowIndustry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now