Mercedes-Benz Aiming to Go Electric-Only By 2025


Mercedes-Benz says it is “shifting from electric-first to electric-only,” with plans for having battery-electric vehicles (BEV) in all segments the company serves by next year, and from 2025 onward, all newly launched vehicle platforms to be electric-only. By 2025, customers will be able to choose an all-electric alternative for every model the company makes.

“The EV shift is picking up speed – The tipping point is getting closer, and we will be ready as markets switch to electric-only by the end of this decade,” says Ola Källenius, CEO of Daimler AG and Mercedes-Benz AG.

“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.”

To facilitate this shift, Mercedes-Benz is unveiling a comprehensive plan that includes significantly accelerating R&D. In total, investments into battery electric vehicles between 2022 and 2030 will amount to over €40 billion.

In 2025, Mercedes-Benz will launch three electric-only architectures:

VAN.EA will focus on purpose-made electric vans and light commercial vehicles, while 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.

After reorganizing its powertrain activities to put planning, development, purchasing and production under one roof, Mercedes-Benz says it will deepen the level of vertical integration in manufacturing and development, and in-source electric drive technology. This step includes the acquisition of U.K.-based electric motor company YASA. The company also plans to set up eight Gigafactories for producing battery cells, together with its partners around the world, in addition to the already planned network of nine plants dedicated to building battery systems.

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