The current economic environment is taking its toll, even on industry giants such as Mercedes-Benz, which is delaying the 2005 launch of its B-Class out of concern that the weak dollar could eat into the company's profits.

The current economic environment is taking its toll, even on industry giants such as Mercedes-Benz, which is delaying the 2005 launch of its B-Class out of concern that the weak dollar could eat into the company's profits.

The four-door hatchback's North American launch had been scheduled for this year, but the company has put back the US introduction of the car, citing the dollar's recent weak performance. The vehicle will be launched as planned in Canada and Mexico, and it has been questioned whether the delay is perhaps a ploy, as DaimlerChrysler is unsure of how the US will respond to the vehicle.

DaimlerChrysler presented the car to the US public at last month's Detroit Motor Show, but according to the company's spokesman, Toni Melfi, said "given the current dollar-to-euro relationship, the launch is being delayed for now".

Melfi reportedly declined to say when the launch would take place, but stressed that the exchange rate had to be "substantially better." The B-Class will be built at the Stuttgart-based company's Rastatt factory in Germany.

Original article from Car