Mercedes-Benz India is exploring a larger role for plug-in hybrid electric vehicles (PHEVs) in its portfolio, with plans to potentially introduce the technology in more models beyond the newly launched S-Class plug-in hybrid. This strategy aims to cater to luxury car buyers who are hesitant about fully electric vehicles due to concerns over charging infrastructure and range.
Despite the ongoing West Asia conflict causing global trade route disruptions, Mercedes-Benz India reports resilient customer demand, particularly for its new electric CLA sedan, though it faces challenges with component supply delays and escalating shipping costs.
Say hello to the S 450 e Launch Edition. Priced at 2.20 crore upwards.
What we will not do is discount deeply, neither will we compromise on product substance, says Managing Director and Chief Executive Officer (MD&CEO) Santosh Iyer.
While SUVs have steadily gained share across the industry, data shows that nearly three in 10 luxury vehicles sold in India are sedans, highlighting the segment's resilience despite years of SUV-led growth.
Despite a 2.8 per cent fall in 2025 volumes, Mercedes-Benz India reported its best-ever revenue and profitability, led by top-end models, AMG growth and higher BEV mix.
Electric vehicle (EV) penetration in the luxury car segment has seen a drop by nearly 3 percentage points in the GST 2.0 era with the internal combustion engine versions offering better total cost of ownership, according to industry players. While the trend is also visible in the mass market segment, it is the entry luxury segment that is witnessing a more marked shift towards internal combustion engine (ICE) vehicles as price difference between EV and ICE widened under the new GST rates.
New 'Captain Cool' in Town: Shreyas Iyer could be the leader India needs
'We expect this festival buying spirit to continue in October as well, with upcoming festivities including Dhanteras and Diwali, which traditionally witness spirited buying from customers.'
Speculation about rising competition from global majors has led to shares of major Indian automobile manufacturers such as Mahindra & Mahindra (M&M), Maruti Suzuki India, and Tata Motors taking a hit on the BSE.
India's luxury auto market is rebounding after a slow start to 2025, with GST 2.0 emerging as the main catalyst.
While GST on ICE vehicles was brought down significantly, for electric cars it remained at 5 per cent.
Electric passenger vehicle (PV) retail sales jumped more than twofold in September with Tata Motors (TaMo) leading the pack having over 6,000 registrations and a 40 per cent market share.
'In the luxury car segment, the adoption of EVs is almost double compared to the mass market.'
After a record-breaking year, India's automobile industry is entering 2026 on a relatively strong footing, with sales growth expected in the 6-8 per cent range. The outlook is underpinned by policy support, including GST rationalisation, easing monetary conditions, and income tax relief, which together are likely to improve affordability and sustain consumer demand across vehicle segments.
Electric vehicle (EV) manufacturers breathed a sigh of relief after the GST Council on Wednesday night retained the concessional 5 per cent rate on EVs, though they now face competition from small petrol and diesel cars, which will attract a lower 18 per cent levy.
About 99,165 electric cars were sold in India in 2024, but electric car penetration -- share of electric car sales in total sales -- was just about 2.5 per cent.
Luxury carmakers are shifting into high gear with a mix of product launches, personalised experiences and lifestyle-led engagement.
German luxury carmaker Mercedes-Benz on Friday said it will hike prices of its vehicles in India by up to 3 per cent on its entire model range in the portfolio from January 1, 2025, citing a rise in input costs, inflationary pressures and higher operational expenses. Prices of Mercedes-Benz cars in India will be revised by Rs 2 lakh for the GLC to Rs 9 lakh for the top-end Mercedes-Maybach S 680 luxury limousine, Mercedes-Benz India said in a statement.
This is not the first EV that Mercedes would be making in India though. It has been making the EQS sedan here for the last 18 months, and has sold 500 units of the car.
Luxury carmaker Mercedes-Benz India plans to roll out 8 new models, including battery electric vehicles, this year as it looks to sustain sales momentum having posted record sales in 2024. The company sold 19,565 units last year, registering a growth of 12 per cent as compared to 17,408 units in 2023.
The 11th edition of the Mercedes-Benz Classic Car Rally in Mumbai on Sunday featured headturners that left the audience gasping in awe. Rajesh Alva/Rediff.com presents a ringside view.
The share of EVs in the luxury segment rose from 7 per cent in January-May 2024 to 11 per cent during the same period in 2025, marking a 66 per cent growth in the electric luxury segment.
The fervour for the India-Pakistan match is so intense that for many beating Pakistan in Dubai seems even more important than winning the Champions Trophy itself, observes K R Nayar, the veteran cricket writer.
Amid mounting inflationary pressures, escalating material costs, and rising operational expenses, luxury carmakers Mercedes-Benz India and BMW India have announced price increases of up to 3 per cent on their entire model ranges effective from January 1, 2025. Mercedes-Benz India will revise ex-showroom prices by Rs 2 lakh to Rs 9 lakh, depending on the model. This adjustment will impact vehicles such as the GLC SUV and the high-end Mercedes-Maybach S 680 limousine.
Mercedes-Benz India is looking at electric entry-level models to attract first-time luxury car buyers, as it sets eyes on another double-digit growth this year, its managing director and CEO Santosh Iyer said on Monday. The company, which launched all-electric entry SUV EQA 250 at an introductory price of Rs 66 lakh, has also introduced the new EQB 350 SUV (5-seater) priced at Rs 77.5 lakh and EQB 250+ SUV (7-seater) tagged at Rs 70.90 lakh (prices all India ex-showroom). It will also launch the EQS Maybach SUV and electrified G-Class models in India later this year.
Gold sales on Dhanteras are estimated to drop 10 per cent in volume terms year-on-year on sharp 33 per cent annual rise in rates of the yellow metal, according to industry players. Since Dhanteras -- the most auspicious day in the Hindu calendar for buying items ranging from precious metals to utensils -- is celebrated on two days till 1.11 pm on Wednesday, jewellers are expecting more footfalls in both online and offline stores.
In 2024 alone, South India saw the highest rise in sales in the luxury segment, with Tamil Nadu reportedly registering a 19.3 per cent increase in premium car registrations from 2022-23
German luxury carmaker Mercedes-Benz is considering assembling more electric vehicles at its plant in India not merely to gain cost advantage but also to meet its zero emission mobility and carbon neutral setup goals, according to a senior company official. Mercedes-Benz India, which currently assembles its flagship electric luxury sedan EQS at its Chakan unit, is considering localisation of other models depending on demand.
Mercedes-Benz India is aiming to post double-digit growth in sales volume during 2024 as it plans to launch over 12 car models during the year, says its managing director and CEO Santosh Iyer. The German carmaker, which leads the luxury car market in the country, recorded 10 per cent year-on-year (Y-o-Y) growth to 17,408 units in 2023. "For 2023, we always said that the growth would be in double digits.
Armed with swanky showrooms, decked with plush fixtures, and offering indulgences such as high-end perfumes and customisable accessories, BMW, Mercedes, Audi are rolling out the red carpet for the well-heeled.
Nearly one in two luxury cars sold in India in the first three months of 2024 was a Mercedes Benz, which achieved its best ever quarter (January-March), selling 5,412 units, up 15 per cent year-on-year (Y-o-Y) from 4,697 units in the previous year.
From attractive EMIs to assured buyback guarantees, luxury carmakers have lined up a slew of offers to woo customers this festival season to address dwindling sales amid rising inventories.
'And a majority will be in the top-end vehicle range.'
For the first time in history, the luxury car market is poised to cross the sales mark of 50,000 units in 2024, with Mercedes leading the way
'It's clear that fans are eager to be part of the live stadium experience, reflecting a growing trend of travel driven by marquee sporting events.'
The proposed exemption in customs duty on import of lithium, cobalt and other rare minerals in the Union Budget 2024-25 is likely to lower the battery production cost and help in making electric vehicles more affordable for the buyers, auto industry leaders said on Tuesday.
Traversing from being just vehicle manufacturers to mobility solutions providers amid a raging debate over which eco-friendly technology must be incentivised, the Indian automobile industry is driving in the new year under the shadow of a slowdown in sales with the post-pandemic pent-up demand in distant memory. The shift in the auto industry -- where advanced technologies like autonomous driving, vehicle intelligence, connected features and electrification are quickly gaining traction -- will be reflected in the upcoming Bharat Mobility Global Expo in which India's flagship Auto Expo has been clubbed to be held from January 17-22, 2025 in Delhi-NCR.
Sales of Mercedes-Benz in the country have jumped by 36.67 per cent to 16,497 units in 2022-23 amid high demand for its top-end vehicles, according to its India MD & CEO Santosh Iyer. "This is the highest-ever sales recorded by the company in any financial year," he stated. In the luxury car segment of India, Mercedes-Benz is the market leader with about a 42 per cent share.
Luxury carmaker Mercedes-Benz India on Thursday said it will increase prices of its vehicles ranging between Rs 2 lakh to Rs 12 lakh across different models from April 1, to offset rising input costs specially the adverse impact of foreign exchange. This will be the second time in three months that the company is increasing prices of its vehicles. The ex-showroom price of the company's model range will increase by up to 5 per cent from April 1, 2023, the company said.
