Canadian Mercedes-Benz dealers suggest that the German automaker is listening to concerns about the rapid shift to EVs. The company could be looking to slow down the planned hard switch to EVs and further extend support to internal combustion. The news comes following a North American retailers meeting held in mid-May amidst worries that the increased cost of EVs is putting buyers off the new tech.
According to the Mercedes Ambition 2039 document, the automaker aims to have an all-electric lineup by the end of the decade in markets “where conditions allow.” But Jim McManes, dealer principal of Mercedes-Benz Country Hills in Calgary, told Autonews Canada that the luxury car maker is planning to scale back on its aggressive EV strategy in the region.
“They have come to the realization that consumers have a role to play in this decision,” McManes said. “They have to listen to what consumers want. Many just can’t afford electric vehicles.”
Related: Mercedes CLA And GLC EVs Coming Next Year With Up To 400 Miles Of Range
“Everyone is eager for electrification,” stated Perry Itzcovitch, dealer principal of Mercedes-Benz Downtown in Calgary. “However, customers remain value-conscious as interest rates have increased and people are being more cautious with their finances.”
Although refusing to confirm a reevaluation of EV strategy, a spokesperson for Mercedes-Benz Canada told Autonews that target dates for electrification remain unchanged. He went on to say that a new quarterly record was set in Q1 2023 for the EQ range, with the EQB retailing 136 units contributing to a total of 332 Mercedes-EQ units sold in Canada.
Of course, those figures are still far behind that achieved by internal combustion engine Mercs in Canada. In Q1 2023, Mercedes Benz Canada sold 6,190 passenger cars and luxury light trucks, meaning that EVs only made up 5.4 percent of sales.
According to Canadian dealers, Mercedes-Benz representatives have said that the company will realign focus on hybrid and ICE-powered cars, as well as focus on more affordable options in the light of increased interest rates and the inflation of housing and consumer goods.
If accurate, it wouldn’t be the first time Mercedes has reigned in its North American EV plans. The EQC electric crossover was initially slated to spearhead the EQ subbrand’s launch in the States back in 2020. However, after delaying the introduction, plans to offer the EV were shelved over concerns that the car’s 250-mile (400 km) range wasn’t adequate for the market.
Meanwhile, Mercedes now aims to introduce an electric CLA and the second-gen electric GLC to North America next year.
