by Large-Scale Investments and New Models
Mercedes-Benz has invested over 2 billion euros in its European production facilities, which is part of the preparation for launching a series of new electric vehicles. Among the key models are an electric version of the C-Class, as well as several new products from the AMG division, including the production version of the AMG GT XX concept.
Cost Reduction Strategy
The company plans to reduce production costs by 10% by 2027. This is planned to be achieved through digitalization, the use of artificial intelligence, increasing the share of renewable energy, and improving logistics efficiency.
Launch of the Electric GLC
The presentation of the electric Mercedes-Benz GLC with EQ technology marked the beginning of the largest product offensive in the brand’s history. In the next three years, the company plans to launch over 40 new models, focusing on more affordable cars to increase sales volumes.
In the words of CEO Ola Källenius: “With the new electric GLC, the largest product launch in our company’s history continues to gain momentum.”
Expansion of the Lineup and New Production Facilities
After the completion of electric CLA production at the Rastatt plant, the German plant in Bremen will begin production of the GLC EQ, and the Hungarian plant in Kecskemét will start production of the electric C-Class EQ. The plant in Sindelfingen is also preparing to launch new AMG electric vehicles.
Digitalization and Innovation
Mercedes is integrating the MO360 platforms into production processes, which will allow creating “digital twins” of plants to test future improvements. This will help increase efficiency and reduce costs.
New Segments and Models
Among the less announced new products is an electric luxury minivan VLE, developed on the new Van Electric Architecture, capable of transporting up to eight passengers. An updated S-Class, new generations of the GLA and GLB, as well as a compact electric vehicle akin to a “little” G-Class are also expected.
These steps demonstrate that Mercedes-Benz is not only adapting to market challenges but is also actively shaping the future of the automotive industry by combining innovation with strategic investments. Growing competition in the electric vehicle sector is forcing the brand to seek new ways to maintain leadership, and such initiatives could be key to achieving this goal.
