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Aston Martin to build new plant near Birmingham? (That's Alabama, not º£½ÇÊÓÆµ)

Aston Martin may be close to making a commitment for a new factory but the manufacturer is still hedging its bets on where that will be, says David Bailey

Aston Martin CEO Andy Palmer unveiles the DBX Concept at the Geneva motor show

In a speech to the Automotive News Europe Congress here in Birmingham (º£½ÇÊÓÆµ) last week, Aston Martin chief executive Andy Palmer said the firm's expansion plan meant it was growing too big for its Gaydon plant but wouldn't confirm the new location would be Alabama.

"We will make the decision in the third quarter. Alabama is a candidate but other states have expressed interest" he stated.

It seems Aston Martin is close to committing to build a new plant (that will build its DBX sports utility vehicle or SUV) in Alabama but is still hedging its bets before making the final decision and is probably looking to see what incentives may be on offer from other US states.

Aston Martin had said recently it did make sense to build a new plant in Alabama (an "obvious choice") for its new DBX SUV because it was near to a Mercedes plant that also made SUVs.

Mercedes' parent Daimler Benz has a five per cent shareholding in Aston Martin and the two have agreement to co-operate.

Mercedes will supply Aston with V-8 engines and electronics for its future sports cars, likely to be launched next year, and in time a platform sharing agreement could be in the offing.

However, the new crossover is likely to be based on a version of the new sports car architecture, as opposed to a Mercedes platform like the new GL.

Aston plans to launch its first SUV, the DBX, in 2019 as part of a strategy to raise annual sales to around 15,000.