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Mercedes-Benz says it will become fully electronic by 2030, but subject to certain conditions. The German carmaker says it will only sell electric vehicles “where market conditions allow”, which means that Mercedes may continue to sell gas-powered vehicles after 2030 in countries where there is no consumer demand for electric cars.
The company announced an updated update on its electric car strategy on Thursday morning, the latest in a series of events by carmakers announcing a major pivot for electric transmissions. But while other car companies have similarly promised to move to full EV production, Mercedes is significant in protecting its promises from external factors.
Other major automakers have included similar warnings. GM, for example, said it would be carbon neutral by 2040, but would not commit to stopping sales of gas-powered vehicles by then. And GM’s top management described the goal of eliminating exhaust emissions from new light vehicles by 2035 as an “effort” and not a certainty.
Still, Mercedes says it will commit € 40 billion ($ 47 billion) to electrifying its assembly by 2030. “We are convinced we can do it with strong profitability and we believe that focusing on electricity is the right way to build a successful future and increase the value of Mercedes Benz,” said Ola Källenius, President and CEO of Daimler and Mercedes-Benz CEO.
From 2022, Mercedes says it will offer a fully electric model in every segment, and from 2025, every model sold will be offered with a pure electric model. Mercedes will also launch three customized new EV architectures for use throughout its product range: MB.EA for medium and large passenger cars, AMG.EA for performance models and Van.EA for commercial vehicles.
The company hinted at some new products coming soon, including electric versions of Mercedes-Benz G-Class wagons and high-performance AMG vehicles. Leaders also teased the upcoming long-range high-performance Vision EQXX concept car, which it will unveil next year. With the EQXX, Mercedes aims for a range of 1,000 kilometers (621 miles) and a consumption range of more than six miles / kWh, making it one of the longest ranges on the market if achieved.
As for the supply chain, the company is building eight gigafactory battery plants, one of which is in the United States. The goal is to build the capacity of battery cells to 200 GWh. And Mercedes announced the acquisition of UK-based EV engine maker Yasa to speed up its production plans.
Mercedes is not alone in mapping out a fully electric (or mostly fully electric) future. GM, Ford, Stellantis, Volvo, BMWand Volkswagen have made similar promises to switch to mostly electric car sales. These announcements come as large governments seek to impose restrictions on the sale of internal combustion engine vehicles. The European Union, China and California have all said they will ban the sale of internal combustion engine vehicles by 2035.