With the price of Mercedes-Benz's new C-Class ranging from R245 000 to R362 000, the manufacturer leaps right into the current high pricing and vehicle price fixing furore.

With the price of Mercedes-Benz's new C-Class ranging from R245 000 to R362 000, the manufacturer leaps right into the current high pricing and vehicle price fixing furore.

At a press conference during the launch of its rehashed C-Class, Mercedes-Benz representatives said the pricing on this model was only about 2,8 per cent up on the previous model.

This is despite the estimated three per cent that it would cost the manufacturer to produce this car when factoring in all the costs involved in developing the new technologies and products and getting the plant ready to manufacture the car.

Deon Ebersohn, DaimlerChrysler SA's media manager, told CARtoday.com on Monday that when compared to other markets around the world, its local product compared favourably.

"Its not only about the price," Ebersohn said. "If you compare the prices with European car prices, those cars start from the very base models. The basic level of spec here is above that seen over there.

"For a long time now, people have been saying that this country needs a cheap, locally produced car, yet nobody wants a cheap car with no features. Everyone wants to drive a car with ABS and airbags," Ebersohn claimed.

About the company's involvement in the competition commission's current investigation into alleged price fixing in the local new car market, Ebersohn said that DCSA had received letters last week informing the company of its investigation.

While it has been requested that DCSA forwards any material that could be helpful in the investigation, Ebersohn said DCSA would be giving the commission its complete cooperation since the company felt it complied with the Competition Act's requirements.

Original article from Car