Mercedes and Nissan are officially building a pickup truck

Daimler CEO Dieter Zetsche smiles during the first press day ahead of the 85th International Motor Show in Geneva March 3, 2015. REUTERS/Arnd WiegmannThomson ReutersDaimler CEO Zetsche smiles during the first press day ahead of the 85th International Motor Show in Geneva

German carmaker Daimler <daign.de> on Tuesday said it would expand its cooperation with strategic partner Nissan <7201.T> to develop a mid-sized pickup truck for Mercedes-Benz.

The new Mercedes-Benz pickup will target commercial and private clients and will share some of the underpinnings with an all-new Nissan NP300 truck, Daimler and Nissan said in a joint statement.

“Entering the rapidly growing segment of midsize pickups is an important step in continuing our global growth path,” Daimler Chief Executive Dieter Zetsche said.

“Thanks to our well-established partnership with the Renault-Nissan Alliance, we are able to drastically reduce the time and cost to enter this key segment.”

The Mercedes-Benz 1-ton pickup truck will be built by Nissan in Cordoba, Argentina, along with the Nissan NP300 and the Renault 1-ton truck, for Latin America.

The three trucks will also be built in the Nissan plant in Barcelona, Spain, for other markets, excluding North America. Production of the trucks at the two plants will start by the end of the decade.

(Reporting by Edward Taylor; Editing by Kirsti Knolle)

More from Reuters:

This article originally appeared at Reuters. Copyright 2015. Follow Reuters on Twitter.

NOW WATCH: 14 things you didn’t know your iPhone headphones could do

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.