Today the U.S. is a nation of cars, but it wasn't always this way. A century ago, motorization here was still in its infancy. Europe was years ahead in the way of technology. So it's no surprise that old-world automobiles were highly coveted in America, but too expensive for most due to shipping costs and customs duties.

The answer provided by Daimler-Motoren-Gesellschaft was a car produced in New York, the "American Mercedes" - basically a reproduction of the 45-hp Mercedes. It first appeared at the National Automobile Show in New York in January 1905. The first vehicle was delivered in 1906 at a price of $7,500.

But the story wasn't so simple. In fact, this seminal automobile was the result of a long, intricate story of one man's vision.

Gottlieb Daimler drove the idea of motorization "on land, on sea and in the air" with his invention of the internal combustion engine. Even early on, Daimler knew the creation stood a good chance of success around the world, and so, looked far beyond the borders of Germany.

His focus was on the U.S., with its burgeoning population and wide-open spaces. As early as 1876, the exceptionally gifted designer and Daimler confidant Wilhelm Maybach made the acquaintance of William Steinway, whose New York-based company was famous for its pianos.

During a stay in Germany in 1888, Steinway met Gottlieb Daimler, and the two began discussing the feasibility of licensing the production of Daimler engines in America. After Steinway's return, the plans quickly materialized. On September 29th, 1888, the Daimler Motor Company was founded on Long Island, New York. Soon, production on behalf of Daimler Motor Company was under taken by National Machine Company in Hartford, Connecticut.

These early years were by no means easy, but from 1895, orders for machine engines began to arrive in ever-increasing numbers. The two entrepreneurs started considering production of motorized automobiles in America. Daimler was, after all, keen on developing new markets for his vehicles, and Steinway believed a bright future lay ahead for the automobile.

In a newspaper interview in 1895, William Steinway outlined his ideas for motorizing America:

The cars which we intend to produce for the American market will be capable of carrying between two and four people and will be driven by engines with between 2.5 and 3.5 hp. Each car will have four different speed ranges: 3.5, 6, 9 and 14 miles per hour. The fuel - petroleum - costs about one cent per hp an hour, making the automobile considerably less expensive than horse power?. We already had a horseless vehicle here in 1893 but it was too lightly built for the rough cobblestone streets we have in this country. We will therefore create a model that will be adapted to conditions in America.

Car production started in a Daimler Motor Company factory on Long Island in 1895. Unfortunately, Steinway died in November 1896, and his heirs had not been convinced that selling motor vehicles was a money-maker. They sold off their shares in Daimler Motor Co. to General Electric Company; from 1898 the production facility was known as the Daimler Manufacturing Company.

Gottlieb Daimler died on March 6th, 1900. Daimler-Motoren-Gesellschaft stood proudly in his tradition, and the company was still keen on manufacturing in America.

Daimler-Motoren-Gesellschaft created the Mercedes brand in 1900, and could thus establish itself in the American market with ultra-modern and reliable designs. In January 1905, the "American Mercedes," manufactured by the Daimler Manufacturing Company, was presented at the National Automobile Show in New York. Derived from the 45-hp Mercedes, it had a four-cylinder engine with a displacement of 6.8 liters, a four-speed transmission, and a top speed of around 50 mph. An early American advertisement had this to say: "If you want the best, of course you want a foreign car. If you import, of course you import the Mercedes - the finest car in the world. The American Mercedes is an exact duplicate of the 1905 Mercedes of 40-45 hp. No detail is omitted."

In the same month of the car's launch, on January 25th, 1905, American H. L. Bowden established a world speed record over one mile with a flying start. Driving a Mercedes with two 60-hp engines in Daytona Beach, Florida, he reached an average speed of 109.4 mph.

American attention had finally been drawn to cars from Germany, and the more favorably priced local reproductions were highly welcomed. In 1906, at last, the first "American Mercedes" was handed over to its buyer. A newspaper advertisement aroused the buyers' interest: "The American Mercedes is the car for speed, power and noiseless running. It is the acme of reliability." These values are to this day embodied by every Mercedes-Benz the world over.

The total number of "American Mercedes" produced is unknown. In February 1907, fire ravaged the plant, destroying eight completed cars and 40 in the process of construction. Production was never resumed.