On Thursday, Mercedes Benz’s China chief said it would continue to invest in tie-ups with Chinese partners like automaker BAIC Group since China has played a pivotal role for the brand’s global strategy.
Mercedes-Benz trucks chief Hubertus Troska said during a press conference on the opening day of the Beijing auto show that China was the most dynamic new energy vehicle market. The event was also attended by BAIC Group Chairman, Zhang Jianyong.
The sales chief of Mercedes, Duan Jianjun revealed that they had brought many electric models to the show which would put rumours about the company’s shaky future plans for electrification to rest.
The executives also revealed that Mercedes would launch the electric G-class in China this year. Although the brand had pushed back some of its sales goals for electrified vehicles by five years, the investors were assured that the company would keep improving its combustion-engine models.
While foreign automakers are trying to cope with the competitive EV landscape by restructuring their strategies amid rival brands aggressively hitting the market with luxury EVs, Mercedes is planning to launch a super-luxury variant of the electric van for the Chinese market. According to Mathias Geisen, “In China, demand for vans is growing rapidly, especially in the luxury segment “
The head of Mercedes’ van division shared with WirtschaftsWoche magazine that they want to significantly increase their sales share in China. Last year, Mercedes-Benz Vans sold a record 447,800 vehicles and received an adjusted return on sales of 15.1%. During the interaction, he confirmed the van division’s 2024 outlook for a 12-14% margin on sales, ahead of quarterly results scheduled for April 30, 2024.