Designed by the European auto major's training centre and the German government, the one-year course focuses on the self-learning methodology and helps candidates update themselves with the latest technological advancements.
The Memorandum of Understanding (MoU) was signed in the presence of Delhi Deputy Chief Minister Manish Sisodia.
The course will prepare the youth in mechanical, electronics and informatics as well as in other modern automation technologies, a release said.
"The Delhi government is making efforts to bring in the best of global companies to impart knowledge and provide hands-on experience to students so that they do not lag behind their competitors in the market," Sisodia said.
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The advance diploma is being conducted since 2002 in government institutions in Pune and Aurangabad in Maharashtra and Thiruvananthapuram in Kerala.
The course will be offered under the automobile discipline of the college and the initial plan is to start the course with a single batch of 20 students, the release said.
The selection of candidates will be strictly on merit and an entrance test conducted by the college, it said.
"India has a large youth demography which gives the country a unique edge over other markets. However, to sustain this competitive edge, there is an urgent requirement to make educated youth, skilled, employable and ready for the industry," Mercedes-Benz (India) managing director and chief executive officer Roland Folger said.
With the expansion of the mechatronics programme in Delhi, the company believes that a large section of aspiring automotive technicians in this part of the country, will find the right platform to enhance their skills and get directly benefit, he said.