- Bid to cut cost while focusing on electrification push
- Powertrain options will be limited along with fewer number of platforms
Mercedes-Benz plans on reducing the model portfolio in the coming years with an aim of cutting costs. With the electrification push in full swing, the German carmaker will surely have a confusing time with so many models – for instance, there’s a GLC along with a GLC Coupe, AMG trims of both these models and similarly sized EQC of the new EQ brand. The similar naming game will soon happen with the A-Class, E-Class and the flagship S-Class.
Therefore, to reduce the complexity and optimise profit, Mercedes-Benz might seek to cut down on the model line-up as well as platform and powertrain options. The manufacturer currently has 45 models in its line-up and we’d have to see how many of these models would be put to rest. However, according to reports, the G-Class, SL, AMG GT and the S-Class make use of individual platforms and don’t benefit from the economies of scale. Therefore, axing vehicles with such individual platforms would greatly help in achieving the goal. Meanwhile, with forthcoming Euro 7 emission norms, Mercedes will also have to pull the plug on many traditional powertrains. Although the carmaker has promised to make the V8 and V12 as long as there’s demand, in the coming years, smaller four-cylinder engines will surely be more viable than these mammoths.
As for the electric future, Mercedes-Benz will be introducing many new models under the EQ sub-brand starting with the EQA this year. It will join the EQC and soon the electric S-Class, EQS will lead the charge. At the same time, a line-up of plug-in hybrids under the EQ Power banner and will be powered by the third-generation hybrid powertrain.