 strategy from 2025, its CEO, Ola Kaellenius said){kind=link}
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Mercedes-Benz, a German automaker, is set to make China the heart of its electric vehicle (EV) strategy, starting from 2025, according to its CEO, Ola Kaellenius.
As part of this plan, all new vehicle platforms from Mercedes-Benz will be designed to exclusively produce EVs from 2025, as outlined in the automaker’s 2021 strategy.
China is a vital market for German automakers such as Mercedes-Benz, despite domestic brands controlling a significant 81% of the Chinese EV market in 2022, as per Counterpoint Research. However, China holds a significant stake in Mercedes-Benz, with the top two shareholders being Beijing Automotive Group Co Ltd and Geely Chairman Li Shufu.
Despite the dominance of local brands, Mercedes-Benz is determined to tailor its offerings to meet the specific needs of Chinese consumers, a move that underscores the importance of the Chinese market in the automaker’s EV strategy.
“To do this, we must master electric propulsion just as perfectly as digitalisation. That’s what our customers expect,” Ola Kaellenius was quoted as saying.
From 2025, all of Mercedes-Benz’s new vehicle platforms will only make EVs under a strategy the German luxury automaker outlined in 2021.
A senior executive told Automobilwoche the models the company plans to launch in China based on the upcoming MB.EA platform were being reviewed to ensure they better meet the needs of local customers, singling out space and digital content.
China remains the most relevant market for Germany’s automakers, but local brands are in control with an 81% share of the Chinese EV market in 2022, Counterpoint Research found.
China also has a significant stake in Mercedes-Benz, whose top two shareholders are Beijing Automotive Group Co Ltd and Geely Chairman Li Shufu.
At the same time, Berlin is trying to reduce its exposure to China’s economy as part of efforts to derisk the German economy that have intensified since Russia’s invasion of Ukraine exposed German dependence on a single dominant gas supplier.