Mercedes postpones combustion engine phase-out

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Mercedes postpones combustion engine phase-out

The expansion of e-mobility is currently sluggish. Mercedes-Benz is drawing the consequences. What this means for the coming years.

Mercedes-Benz wants to forgo a new platform for the electric top-of-the-range S-Class and E-Class models due to the slower transition of customers to electric cars. Instead of the MB.EA architecture planned from 2028, the existing Electric Vehicle Architecture (EVA2) platform will be further developed for cost reasons, reported the Handelsblatt newspaper on Monday.

The car manufacturer did not initially comment specifically on the platform. However, Mercedes announced that both electric drives and combustion engines are to be produced until the 2030s. Future production is flexibly set up for combustion and electric drives.

Mercedes postpones combustion engine phase-out

The car manufacturer therefore expects to build combustion and electric cars in parallel for longer than originally thought. Mercedes CEO Ola Källenius had already stated in February that the goal of switching completely to electric cars by 2030 would not be achieved under the right market conditions, as demand would not keep pace. Instead, the brand with the three-pointed star only expects electrified cars - i.e. purely electric cars and plug-in hybrids - to account for up to 50 percent of sales by the end of the decade.

Internal combustion models could be sold “well into the 30s” if there is sufficient demand, Källenius said at the Annual General Meeting last week. “The pace of transformation will be determined by market conditions and the wishes of our customers.”

According to the information provided, Mercedes-Benz is nevertheless creating the conditions for a CO2-neutral new car fleet by 2039.

Effects on production

The longer transition phase with two drive types has consequences for production. According to Handelsblatt, a new production line should have been created with the completely new MB.EA luxury-class architecture. Until now, conventionally and electrically powered models have been built flexibly on one line at the Sindelfingen plant. This will now be maintained for longer.

Mercedes-Benz is under increasing pressure to save money because demand is weakening throughout the industry, which is also reducing the Swabian company's returns. The US electric car pioneer Tesla is in a similar situation, revising its existing electric platform instead of developing a completely new one for smaller models.

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