Guard, cancel: Mercedes-Benz abandons plan to sell only electric cars by 2030

Approximately 3 years ago, Mercedes-Benz announced its plan that by 2025, every serial model of the manufacturer should have a fully electric version, and by the end of the current decade, the brand will become fully electric and will sell exclusively electric cars. However, the company has now announced that it is abandoning its plan to sell only electric cars after 2030.

3 years ago, when announcing their electrification plan, the company warned that they would abandon ICE where "market conditions allow." It seems that currently the market does not allow Mercedes to fulfill its plans. The company stated in its financial report for the fourth quarter of 2023 that it expects only 50% of sales to come from fully electric electric cars. This is a significant drop in expectations compared to the once rosy forecasts. Gasoline and hybrid vehicles will remain part of the company's future for many years.

"Customers and market conditions will determine the pace of transformation," says the report from Mercedes. "The company plans to meet various customer needs, whether it be a fully electric transmission, or an electrified internal combustion engine, until the 2030s."

Even in Europe, where the growth in electric car sales outpaces North America, Mercedes does not expect a transition to selling only electric cars in the near future, said the company's CEO Ola Källenius.

Taking market conditions into account, automakers are expressing more caution regarding the future of electric cars. Tesla CEO Elon Musk warned that the company is preparing for a significant slowdown in sales growth in 2024. At the same time, companies that focus solely on electric vehicles, such as Rivian and Lucid, have stated that they expect production to remain at the previous year's level this year. Other companies, such as GM and Ford, have delayed factory construction or canceled new models.

Last year, electric car sales in the US accounted for almost 8% of the total, and in Europe, 13%. Sales are still growing, but customers are becoming more selective on price, while also expressing concerns about charging time and reliability. Meanwhile, hybrid sales have significantly increased.

Source: The Verge