Mercedes leases the Jeep Wrangler to Jeep for more than $2bn.
The deal is worth an estimated $1.3bn.
Read moreWhat’s in a lease?
The deal involves a 20-year lease on a Jeep Wranglers current production line, which is expected to last from 2021 to 2023.
The lease is expected only to last one year, with the option to extend for as long as a further 20 years.
The total cost of the deal, which was announced at the start of this year, is about $2,300 per year for the current production of 1,500 cars.
The company will pay $2m per vehicle and $1m per customer, and the remaining $1bn will be paid to the owners of the vehicles.
The deal was agreed to last for the 20 years of the 20-car production.
The remaining time will be used to prepare the vehicles for future upgrades, including new technology.
The new deal with Jeep is expected for release in 2018, with deliveries expected to start in 2019.
The two companies have had a long relationship, dating back to the early 1980s, when Mercedes used the Wrangler in its own commercial car fleet.
Mercedes, the biggest carmaker in the world, has seen its profits rise dramatically over the past few years as sales of its luxury cars have grown.
It also continues to sell the brand as a whole, even though it has been unable to build new models, as it has struggled to compete in the premium segment.
However, the company’s fortunes have been hit hard by the global economic downturn, which has seen sales of Mercedes cars fall to just 5.7 million in the first quarter of this month.
The Wrangler was initially meant to be one of the most lucrative deals in Mercedes history, with an estimated value of $4.3 billion.
However, in April 2017, the German carmaker announced that it was cancelling the deal and the contract would not be renewed, which caused its value to plummet.
The Wrangler deal has caused controversy in the US, with several Republicans questioning the merits of the agreement.
Earlier this year the company announced it would pay $1,000 for every person who bought a Jeep at the first-ever Jeep dealership, which took place in Las Vegas in October 2017.
The dealership has since shut down, although it has since re-opened.
While the deal has created controversy in America, the Wranglers new lease is still in place.