“We will not become a fully electric brand,” says Mercedes now

Many manufacturers are screaming loudly: from this or that date we will become an all-electric brand. Mercedes did that too, but is now backtracking on his words.

For example, the Mercedes A-Class would be phased out this year to make room for an electric alternative. But this plan has now been scrapped.

Mercedes A-Class until 2026

The A-Class will remain in production until 2026, says Mercedes. This statement comes a month after news that the brand is no longer aiming to be fully electric.

Not a fully electric brand

Mercedes would only have electric vehicles in its delivery program from 2030, but CEO Ola Källenius is backing down. Why? Because demand for electric cars is falling worldwide.

Mercedes’ new forecast is that by 2030 only half of sales will be electric. The message now is that petrol models and (plug-in) hybrids will remain important in the coming years.

Not even in Europe

Källenius doesn’t even assume that Europe will be 100 percent electric by 2030. The electric vehicle market is still growing, but slower than expected.

Potential buyers/lessees are confronted with the high prices of electric cars and find that financial benefits such as the MRB exemption and the small additional fee will disappear.

Transition with peaks and valleys

The switch to electric “will come with ups and downs,” says Källenius. He expects it will take some time before electric vehicles cost as much as gasoline cars.

Fiat and Volkswagen

Volkswagen announced this week that the ID.3 will not also be produced in Wolfsburg. The additional production line was stopped because demand for the ID.3 is simply disappointing.

Mercedes and Volkswagen aren’t the only brands suffering from disappointing EV sales. Fiat also announced some time ago that it would temporarily reduce production of the 500e.