Mercedes Eyes More EV Assembly in India

Mercedes-Benz is eyeing an expansion of electric vehicle (EV) assembly at its Chakan plant in Maharashtra, aiming to capitalize on cost efficiencies and advance its sustainability goals. Currently, the luxury automaker assembles its flagship electric sedan EQS locally, with plans to potentially localize other models like the EQA, EQB, and EQE depending on market demand. Priced between Rs 66 lakh and Rs 1.6 crore, these EVs represent a significant segment in Mercedes-Benz's product lineup.

Globally, Mercedes-Benz has committed to achieving a net carbon-neutral vehicle fleet and carbon-neutral production plants by 2039. As part of its Ambition 2039 initiative, the company aims to slash CO2 emissions per passenger car in its new vehicle fleet by up to 50 percent compared to 2020 levels within this decade.

In India, Mercedes-Benz reported record-breaking half-yearly sales of 9,262 units in the first half of 2024, marking a nine percent increase from the previous year. Notably, EV sales surged by 60 percent during this period, underscoring a growing consumer shift towards sustainable mobility solutions.

The move towards expanded local EV assembly not only aligns with Mercedes-Benz's strategic goals but also reflects a proactive stance in meeting rising consumer demand for electric luxury vehicles in India's evolving automotive landscape.

News by Rahul Yelligetti