By the end of the decade, if market conditions allow, Mercedes-Benz is gearing up to go all electric. The world’s premiere luxury car company will be shifting from electric-first to electric-only as they move towards an emissions-free and software-driven future.

By 2022, Mercedes-Benz is targeting that all segments they serve will have battery electric vehicles (BEV). Starting 2025, all their newly launched vehicle architectures will be electric-only. Customers will also have the option to get an all-electric version of every model that the company will be manufacturing. Mercedes-Benz plans to accomplish this accelerated transformation and still reach their profitability targets.

Mercedes-EQ Family Immendingen 2021; Ola Källenius, Vorstandsvorsitzender der Daimler AG und der Mercedes-Benz AG // Mercedes-EQ Family Immendingen 2021; Ola Källenius, Chairman of Daimler AG and Mercedes-Benz AG

Daimler AG and Mercedes-Benz AG CEO Ola Källenius stated, “The EV shift is picking up speed – especially in the luxury segment, where Mercedes-Benz belongs. The tipping point is getting closer, and we will be ready as markets switch to electric-only by the end of this decade. 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 smoothen the shift, Mercedes-Benz revealed their comprehensive plan which shows the notable acceleration in R&D. Between 2022 and 2030, the total investments that Mercedes-Benz will put into battery electric vehicles will amount to more than €40 billion. Expediting and pushing the EV portfolio plan will also advance the tipping point for EV adoption.

Technology Plan

Architectures: Three electric-only architectures will be launched by 2025:

MB.EA will be dedicated to the medium to large size passenger cars. They will establish a scalable modular system that will be the electric backbone for the upcoming EV portfolio.AMG.EA will take on the performance electric vehicle platform that will work on the technology and performance-oriented Mercedes-AMG clients.VAN.EA will be pioneering purpose made electric vans and Light Commercial Vehicles, which will contribute greatly towards an emission free cities and transportation in the future.

Vertical integration: Mercedes-Benz just reorganized its powertrain activities. They placed planning, development, purchasing, and production in just one roof. The company also plans to greatly enhance the level of vertical integration that they have in manufacturing and development, as well as insource electric drive technology. Part of the plan is the acquisition of UK based electric motor company YASA. The deal with YASA will help Mercedes-Benz to have access to the exclusive axial flux motor technology and expertise. It is what they’d need to develop the next generation ultra-high performance motors.

In-house electric motors like the eATS 2.0 are important in their strategy as they concentrate on efficiency and total cost of the whole system which also includes software and inverters. Since the world’s largest new energy vehicle (NEV) market is China, it is unsurprisingly the place where hundreds of suppliers and companies that are specializing on EV components and software technologies have set up shop. It is expected that the country will be important in the electrification strategy of Mercedes-Benz.

Batteries: Mercedes-Benz will need more than 200 Gigawatt hours battery capacity, and to do that they plan to build eight Gigafactories that would produce cells, along with their partners all over the world. This plan is on top of the network of nine plants built for the purpose of building battery

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By: Reggie Sison
Title: Mercedes-Benz is Gearing Up to Go All-Electric
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Published Date: Sun, 08 Aug 2021 22:50:49 +0000

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