Mercedes-Benz Group unveils entry-level EV "Concept CLA Class”

Introducing MB.OS and next-gen MBUX to build high-output charging networks in key markets

2023/09/28

Table of contents

Summary
Concept CLA Class: Incorporating Vision EQXX technology, with a range of 750km
New E-Class: Four of the nine models are PHEVs, with an EV range up to 115km
IAA Mobility 2023: Concept and production models
New entertainment and navigation features via OTA
Building a high-power charging network globally
Performance: sales and EBIT up from 2021, sales volume up from 2022
GlobalData Production Forecast: Mercedes-Benz Group’s production in 2026 will be 2.77 million units

Summary

Concept CLA Class (exhibited at IAA Mobility 2023)

The Mercedes-Benz Group aims to become "EV-only" in regions where possible in 2030 and carbon neutral throughout its value chain in 2039. The company is focusing on combining two key elements of its production philosophy: sustainability and luxury, and will use digital technology to enhance the user experience.

At the IAA Mobility 2023 (Munich Motor Show) held in September 2023, the company exhibited the Concept CLA Class and the new E-Class, models that hint at its future strategy. The Concept CLA Class concept vehicle represents Mercedes-Benz's entry-level EV and is the first to use the Mercedes-Benz Modular Architecture (MMA) platform. The efficient EV drive has achieved a range of 750km. In addition, it will also be the first time that the company will fully introduce its independently developed Mercedes-Benz Operating System (MB.OS). In addition, the concept is the first model developed using an entirely new approach with the goal of becoming carbon neutral by 2039, increasing the recyclability of raw materials and achieving a 40% reuse rate by 2030.

The new E-Class, Mercedes-Benz' best-selling model, is a model that bridges the gap from internal combustion engines to EVs, according to the company. Powertrains will consist of gasoline, diesel, and PHEV, and half of the models at launch will be PHEVs. The PHEV is powered by a 25.4kWh battery and can travel up to 115km in EV mode.

In August 2023, Mercedes-Benz announced that it would establish a worldwide high-power charging network starting in the fall of 2023. Plans call for more than 10,000 charging locations in North America, Europe, China, and other major markets worldwide by the end of this decade. By developing a charging network, the company seeks to encourage users to select EVs to accelerate the EV transformation.

Mercedes-Benz's EV promotion strategy is well underway. The sales volume of electrified vehicles (xEV: BEV + PHEV) increased to 333,490 units in 2022 (+22.7% y/y) and 187,608 units in the first half (H1) of 2023 (+36.3% y/y).

This report focuses on the Mercedes-Benz Group's exhibit at IAA Mobility 2023, as well as on the Mercedes-Benz Group's progress in promoting the introduction of EVs.

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