Mercedes-Benz announces electrification plan, EV and battery rollout, end of internal combustion vehicles

Mercedes-Benz has announced an end to its internal combustion-engined product offerings, moving towards a range of electric-only vehicles by 2030. The caveat provided by the company is that zero-emissions vehicles will prevail “where market conditions allow”, presumably giving the automaker a guilt-free emissions pass in markets where charging infrastructure and EV uptake is yet to develop.

Mercedes-Benz will cease the development and release of internal combustion vehicle architectures from 2025, and will launch three electric-only platforms in the same year. According to the company, customers will be able to choose an all-electric alternative for every model in the Mercedes-Benz range, and that “Mercedes-Benz intends to manage this accelerated transformation while sticking to its profitability targets.”

Ola Källenius, CEO of Daimler AG and Mercedes-Benz AG said in a media statement that "The EV shift is picking up speed - especially in the luxury segment, where Mercedes-Benz belongs. The tipping point is getting closer and we will be ready as markets switch to electric-only by the end of this decade," "This step marks a profound reallocation of capital. By managing this faster transformation while safeguarding our profitability targets, we will ensure the enduring success of Mercedes-Benz. Thanks to our highly qualified and motivated workforce, I am convinced that we will be successful in this exciting new era."

Ola Källenius, CEO of Daimler AG and Mercedes-Benz AG with the Mercedes-Benz EQ range.

Ola Källenius, CEO of Daimler AG and Mercedes-Benz AG with the Mercedes-Benz EQ range.

Mercedes-Benz’s Future Product Line-Up

Let’s look at the above image and get a sense of where the brand is heading this decade. We’re already familiar with the upcoming EQS luxo-barge next to Ola Källenius, and pictured to its right is the soon-to-be-revealed EQE sedan. Both vehicles are based on Mercedes-Benz’s Electric Vehicle Architecture (EVA) modular platform. Behind them, from left to right, we have the GLB crossover, and the currently on sale EQC and EQA crossovers. In the third row, a mysterious crossover —likely the EQS SUV— sits just ahead of the EQV.

Mercedes-Benz revealed its subbrands including AMG, Maybach and G-Class —made infamous in the 2010s as a symbol of gas-guzzling excess— will go electric. The EQS SUV will be the first vehicle in the lineup to receive the Maybach work-over, as teased in this image below.

The Mercedes-Benz EQS SUV Maybach. Image: Mercedes-Benz

All subbrands to go electric. Images: Mercedes-Benz.

All subbrands to go electric. Images: Mercedes-Benz.

Brand new electric platforms from 2025

Three electric-only architectures will be launched in 2025:

  • MB.EA will cover all medium to large size passenger cars, establishing a scalable modular system as the electric backbone for the future EV portfolio.

  • AMG.EA will be a dedicated performance electric vehicle platform addressing technology and performance oriented Mercedes-AMG customers.

  • VAN.EA ushers in a new era for purpose made electric vans and Light Commercial Vehicles, which will contribute to emission free transportation and cities in the future.

 

Manufacturing and battery cell demands

The upcoming mercedes-Benz EQB.

Mercedes-Benz plans to install battery cell capacity of more than 200 Gigawatt hours with partners, and sets its sights on eight Gigafactories to support this product rollout. The company will develop new partnerships for R&D and production of battery cells in Europe.

Following Tesla’s lead and in an attempt to reduce the bureaucracy and cost of development for legacy automakers, Mercedes-Benz is reorganizing its powertrain activities to put planning, development, purchasing and production under one roof. The company claims this will deepen the level of vertical integration in manufacturing and development and electric drive technology.

Mercedes-Benz’s next-generation batteries will debut in 2025 and will be highly standardized, and suitable for use across more than 90 percent of all Mercedes-Benz cars and vans according to the automaker. The company intends to focus battery cell and module manufacturing in Europe, keeping the supply chain close to home. It will work with technology partners across Europe such as SilaNano to further increase energy density in batteries through silicon- carbon composite anodes.

Mercedes-Benz is also developing solid-state technology, with an aim to create batteries with even higher energy density and safety. The company is already trialling Citaro buses with solid-state batteries.


EV Brief’s Take

This is all great news in our view. After a general reluctance to commit to electrification from Germany’s big automakers, Mercedes-Benz is officially going “all in”. Massive investment in capital works, battery gigafactories, and cell R&D, as well as ensuring reduced emissions and CO2 neutrality from the production process will allow the brand to get ahead of strict EU emissions regulations, while ensuring future commercial viability.

Streamlining its business through centralised production, common battery modules and shared platform architecture will not only lead to positive business outcomes and an increased return on investment, but it should also bring with it faster product rollout timeframes, and a greater diversity of product offerings.

Source: Mercedes-Benz

The Mercedes-Benz EQS.

The Mercedes-Benz EQS.

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