The next generation electric Sprinter van will be built in the U.S. at Mercedes’ current Sprinter and Metris production plant in North Charleston, South Carolina, in addition to two facilities in Germany. Mercedes-Benz is investing over $400 million in the next generation eSprinter, Mercedes-Benz announced on March 30.

In the announcement, Mercedes reiterated its intention to start eSprinter production in the second half of 2023.

In December, Mercedes announced that the new eSprinter will have three battery options and various body configurations, including a cutaway chassis model suitable for ambulances, motorhomes or refrigerated transporters.

The U.S. is the second largest market for Sprinter vans, after Germany. The current European eSprinter comes with a 114-hp electric motor powering the front wheels and a choice of either a 35- or 47-kWh battery pack.

As early as 2022, Mercedes’ passenger car and van plants will produce vehicles carbon-neutral worldwide. Mercedes-Benz Vans intends to only use electric energy from renewable sources in all its plants, the company said.