Promising road ahead for EV uptake
Post-pandemic, the Chinese market is leaning more towards premium and luxury. “Daimler has taken advantage of this, so their growth is driven by new products like the S-Class, which is selling very well in the Chinese market, also with their medium-sized SUVs, like the GLC and GLE” have performed well in the past six months.
New energy vehicles, including PHEVs (plug-in hybrid electric vehicles) and BEVs (battery electric vehicles), register at about 7-8% of total sales. The specialist expects this to rise in future, with two main drivers, one of which being European incentive programmes. “If you look, for example, in the German market, there has been already… an increase in the incentive for credits towards pure BEVs and PHEVs below certain pricing thresholds.”
When asked whether Mercedes’ goal for a 50% share of EVs by 2030 is realistic, the former Volkswagen executive commented that it depends on further legislation – particularly in the US. “The US market, at the moment Daimler is selling, again, [the] majority of their models as ICEs [internal combustion engines]. It’s a very, very difficult market for them to enter and gain proportion for EVs, specifically BEVs. This is basically Tesla’s home ground.”
We also heard how the global semiconductor shortage is affecting production, including which models are likely to face disruption. In addition, the specialist offered their perspective on what lines Mercedes should prioritise, and that it depends on the market and the respective emissions compliance regulations.
Other topics included comparisons with Audi, BMW and Tesla, expected volumes for the EQS and S-Class models, and the threat from other luxury marques’ EV products.
To access all the human insights from Third Bridge Forum’s Daimler – Mercedes EV analysis Interview, click here to view the full transcript.
The information used in compiling this document has been obtained by Third Bridge from experts participating in Forum Interviews. Third Bridge does not warrant the accuracy of the information and has not independently verified it. It should not be regarded as a trade recommendation or form the basis of any investment decision.
For any enquiries, please contact firstname.lastname@example.org