Even as automakers race toward an electric future, don’t expect the roar of Mercedes-Benz internal combustion engines to fade away anytime soon. The German luxury brand plans to keep fuel-powered pedal power alive and well through the 2030s.
CEO Ola Källenius made clear that despite Mercedes’ EV ambitions, it won’t abandon its long heritage with gas vehicles. Instead, look for fresh combustion engine models launching after 2027 that carry the company strongly into the next decade.
Keeping A Foot In Both Worlds
Essentially Mercedes refuses to put all eggs in the EV basket, hedging its bets with continued innovation on hyper-efficient gas powertrains.
That strategy ensures Mercedes retains footholds in markets slower to adopt electrics. And helps it navigate uncertainties around future battery costs, charging infrastructure, and regulations.
Come 2026, expect a new hybrid-focused 4-cylinder co-developed with Geely to premiere meeting tough Euro 7 emission rules. Mercedes is also now targeting up to 50% EV and plug-in hybrid sales by mid-2020s rather than an absolute 50% goal.
Cost Control Key To Success
Critical to making this dual-track approach pay off will be slashing battery expenses 30% in coming years. Mercedes has Chinese battery giant BYD lined up to supply more affordable LFP lithium iron phosphate cells to help on that front.
In the end, Mercedes appears intent on thriving whether our automotive future turns out all-electric or a blend of eco-friendly new and efficient legacy technologies. By keeping one hand on the gas pedal even as it charges ahead, Mercedes retains flexibility to react and win regardless of where the market heads.
