The first batch of the new Mercedes A Class models roll off the production line at Mercedes-Benz Rastatt plant, where the company will also make a compact SUV in near future. The new A-Class platform will underpin a bunch of cars, only one of which will be a compact crossover. There is also a compact four-door coupe in the works based on this car.

The A-Class is the company’s second new compact model, following the start of production of the new B-Class at Rastatt in September 2011 and at the new Mercedes-Benz plant in Kecskemét, Hungary at the end of March 2012. It’s all part of the company’s 2020 growth strategy which apparently counts heavily on the compact segment.

That is why Daimler is investing €1.2 billion in the Rastatt plant for the production of the new compact models. It’s a two phase plan with €600 million already spent on construction of a new bodyshell building and for tools, and another  €600 million to be spent next year, slated for modifications of the assembly and corresponding equipment installations in the bodyshell production. Another €400 million will be invested in the powertrain plants this and next year for production of components solely used in the new compact models.

The Rastatt plant has already made 900 new jobs. Since the start of sales in mid-June more than 40.000 customers have already ordered the new A-Class. More than 70.000 vehicles of the new B-Class were delivered to customers since its market launch in November 2011. Thanks to the demand for premium small cars, the business is good for this production site.