In 2024, Mercedes, like many other manufacturers, faced a tough year. To turn things around, the automotive giant announced a new strategy called “Next Level Performance” and revealed that dozens of new or revamped models would be launched by 2027. Among these are the electric C-Class and GLC models. Here are the details…
Mercedes is restructuring by 2027 with new models: Electric C-Class and GLC on the way!
Mercedes will first launch the fully electric CLA model, which will also be available with mild-hybrid gasoline engine options. Additionally, the long-rumored electric C-Class and GLC models have been officially confirmed. The company stated that the speed of transitioning to fully electric vehicles will depend on market conditions, infrastructure, and customer demand.
Furthermore, it was announced that the S-Class will be revamped in 2026, and a smaller model will be added to the G-Class lineup. On the Mercedes-AMG side, a shift to the fully electric AMG.EA platform will take place in 2026, and a new hybrid V8 engine is under development.
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With these new models, Mercedes will also integrate its own MB.OS operating system into all vehicles. This software will offer AI-assisted personalization and support for advanced autonomous driving systems. On the navigation side, Google Maps will be used in Western markets, AMAP in China, and TMAP in South Korea.
Meanwhile, as part of the Next Level Performance plan, Mercedes aims to reduce production costs by 10% by 2027. The current annual production capacity will be reduced from 2.5 million vehicles to 2-2.2 million, but flexible production will be ensured based on demand. There are no plans to close any factories in Germany, but the capacity of each factory will be kept at a fixed 300,000 vehicles.
According to Mercedes’ 2024 financial report, the profit margin in the automotive sector dropped from 12.6% to 8.1%. Operating profit, which was 19.7 billion euros in 2023, fell by 31% to 13.6 billion euros in 2024. Net profit dropped by 28.4% to 10.4 billion euros. Despite this financial downturn, Mercedes plans to become more competitive by 2027 through electrification, technology integration, and cost optimization.
Do you think Mercedes’ new models and strategy will help the brand reach the top again? Could the electric C-Class and GLC be strong competitors against Tesla and other rivals in the market? Feel free to share your thoughts in the comments below!
