Traditional car manufacturers still disagree about the future. Opel is steaming towards an EV brand, while Ford and General Motors withdrew earlier claims about it. Mercedes also adjusted its mission. The German brand no longer wants to sell only electric cars by 2030. Instead, half of its sales should consist of cars with an electric motor, including hybrids. Due to the changed plans, Mercedes is investing more in combustion engines than planned.
That is what Mercedes boss Ola Källenius says. According to him, this is urgently needed: ‘Otherwise we would suddenly stop our activities in the field of combustion engines in 2027 or 2028.’ Because the EV transition is not going as fast as expected, Mercedes would miss out on a lot of turnover if the brand were to stick to the old strategy.
Mercedes’ investment
The top brass at the boardroom table in Stuttgart shares the investment plans with the German newspaper Workweek. According to Källenius, Mercedes is investing 14 billion euros in R&D and in factories this year. The adjustments to the factories are said to be focused primarily on digitalization, electromobility and new technologies for combustion engines.
For future Mercedes, this means that hybrids will become a lot more advanced. Källenius wants to ensure that hybrid powertrains will be available ‘that will last well into the 2030s’. Such a setup will also be available for the next S-Class, traditionally the model that can be seen as the technological leader of the brand.
An electric S-class is on the way
In two years, Mercedes will come up with a facelift of the current S-Class. They are going all out for this new version. According to the big boss, ‘much more has been invested’ than is usual for a facelift. In addition, the brand is also working on a competitor for the BMW i7. About the electric S-Class, Källenius says: ‘The project is running at full speed.’ It is not yet known exactly when you can expect that, eh, non-EQS.
