Electric car setback as Mercedes resurrects controversial cult-like group
In the face of global economic uncertainties and increasing trade disputes, the German automotive industry, including brands like Audi, BMW, Mercedes-Benz, Opel, Porsche, and Volkswagen, is facing challenging economic conditions. This trend is particularly evident in the first half of 2025, where notable brands such as Volkswagen, BMW, Mercedes-Benz, and Porsche have made significantly less profit compared to the previous year.
For Mercedes-Benz, the global trend towards electric mobility is putting additional pressure. The company's initial plan was to produce only electric vehicles by 2030, but the share of fully electric vehicles among its total vehicles remains at around ten percent. To address this challenge, Mercedes-Benz is adopting a new strategy, which includes bringing back a cult classic and unveiling a new electric vehicle design.
The core of Mercedes-Benz's strategy to grow profits in EVs lies in a large-scale launch of numerous electric models. The company plans to introduce 18 new models in 2026, marking the biggest launch in the company’s history. These models will include electric versions of popular models like the C-Class and GLC, with new dedicated EV platforms planned by 2027.
One of the key aspects of this plan is the focus on entry-level EVs. Two compact electric crossovers, likely based on the GLA and GLB, are aimed at urban drivers seeking efficient, practical electric SUVs. In the core segment, Mercedes-Benz is aiming to score points with a retro design that reinterprets brand-typical elements such as the star, laurel wreath, and grille.
A notable example of this approach is the electric GLC model, which uses the familiar shape but integrates advanced EQ technology and a new MB.EA platform. This modernized, electrified version of a beloved Mercedes classic presents a contemporary interpretation of classic Mercedes features.
Meanwhile, the new electric vehicle designs from Mercedes that deviated from the traditional look received little response from customers. Mercedes-Benz is taking new steps to address revenue losses, including the return of a popular cult classic.
However, the electric vehicle market is seeing increased competition from China. The global trend towards electric mobility is putting pressure on automakers, including Mercedes-Benz. Despite these challenges, Mercedes-Benz's new strategy offers a promising direction for the company to boost profits and regain market share in the electric vehicle segment.
[1] https://www.mercedes-benz.com/innovation/electric-intelligent/future-of-mobility/ [2] https://www.mercedes-benz.com/innovation/electric-intelligent/electric-vehicles/ [3] https://www.mercedes-benz.com/innovation/electric-intelligent/electric-vehicles/glc-eq/ [5] https://www.mercedes-benz.com/innovation/electric-intelligent/electric-vehicles/future-electric-vehicles/
- The global trend towards electric mobility is causing additional pressure for companies like Mercedes-Benz, as they compete in the electric vehicle industry.
- Mercedes-Benz's new strategy involves bringing back a popular cult classic and unveiling new electric vehicle designs to boost profits in the EV segment.
- To regain market share, Mercedes-Benz is focusing on entry-level EVs, with two compact electric crossovers aimed at urban drivers seeking practical electric SUVs.
- The electric vehicle market is becoming increasingly competitive, with China posing a significant challenge to automakers such as Mercedes-Benz.
