Mercedes halts development of MB.EA Large platform amid poor EV sales: Reports

Mercedes-Benz has announced a significant shift in its electric vehicle (EV) strategy, deciding to discontinue the development of its upcoming MB.EA Large architecture. This platform was initially slated for a 2028 launch and was intended to underpin the next-generation EQE and EQS sedans and SUVs.

The decision to halt the MB.EA Large platform comes in response to underwhelming sales of the current EQE and EQS models. According to a report by German newspaper Handelsblatt, which cites four insiders, the luxury carmaker is making "tough cuts" due to these disappointing sales figures.

The projected investment for the MB.EA Large platform was substantial, estimated to be in the mid-single-digit billion range. By cancelling the project and avoiding necessary infrastructure changes at production sites, Mercedes-Benz expects to save between €4 billion and €6 billion (approximately ₹36,074 crore to ₹54,111 crore).

Focus on Sustainable Efficiencies

Mercedes-Benz is now focusing on achieving sustainable efficiencies by leveraging both new and existing model series. The company aims to offer a flexible range of vehicles, incorporating fully electric drive systems alongside electrified high-tech combustion engines, well into the 2030s. This approach is intended to tailor products to meet diverse customer requirements more effectively.

Initially, Mercedes-Benz planned to develop two versions of the MB.EA platform: the MB.EA Medium for upcoming EQC sedans and SUVs, and the MB.EA Large for the larger EQE and EQS models. With the MB.EA Large now shelved, the automaker will instead enhance the existing EVA2 platform, which currently supports the EQE and EQS models.

Upgrades to the EVA2 platform will include the integration of an 800V charging architecture, replacing the current 400V system, along with new battery cell technology and more efficient electric motors to boost range.

Continued Commitment to EV Innovation

Despite the cancellation of the MB.EA Large platform, Mercedes-Benz remains committed to its EV innovation. The company will proceed with the development of the MB.EA Medium platform and has firm plans for other specialised platforms, including MMA (for compact EVs), MB.AMG (for sports cars), and MB.VAN (for commercial vehicles).

This strategic decision is part of a broader realignment of Mercedes-Benz's future development activities. The company has also recently adjusted its timeline for achieving a 50 per cent EV (including plug-in hybrid and electric vehicles) share of sales from 2025 to 2030. Furthermore, Mercedes-Benz has revised its target to become an EV-only brand by 2030, reflecting a more gradual transition.

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