Mercedes-Benz To Drop X-Class Over Poor Sales, Cost-Cutting Initiative

Tough days seem to be ahead for one of Mercedes’ toughest vehicles, the X-Class pickup truck.

Parent company Daimler is reportedly planning to drop the Nissan Navara-based model. Germany’s Automobilwoche cites unnamed sources from the automaker who claim the X-Class will be sacrificed as Daimler aims to reduce costs amid profit warnings.

If true, it’s an interesting decision that would basically equate to Mercedes-Benz admitting it got the pickup segment wrong. Last year, the carmaker sold only 16,700 units of the X-Class in Europe, Australia, and South Africa, despite the fact that the model launched only two years ago.

The fact that the X-Class is not sold in the United States, the world’s biggest pickup market, probably didn’t help either. Sales have also been hit by the fact that Mercedes-Benz has issued several recalls already.

The first sign that the X-Class did not have a bright future was a decision announced in February by former Daimler CEO Dieter Zetsche. Back then, the executive said the company would abandon plans to build the pickup for South American markets at a Renault-Nissan plant in Argentina. The X-Class is built exclusively at Nissan’s plant in Barcelona, Spain alongside the Navara and Renault Alaskan.

But probably the biggest problem the X-Class has is the premium pricing that few buyers find justified for what essentially is a rebadged Nissan Navara with Mercedes-Benz exterior styling cues and a plusher interior.

Also read: Daimler May End Renault-Nissan Partnership, Cut 10,000 Jobs To Reduce Costs

In Germany, the X-Class starts at around €37,000 (approximately $41,500) but V6-powered models with AWD in range-topping Power trim are priced from just under €59,000 (around $66,100).