Mercedes-Benz announces that it is realigning its powertrain production network to ease the transition from 2024. With this plan, the automaker would go fully electric by the end of the decade. By the end of 2030, the automaker should be an electric-only company depending on the market conditions.
Back in June, Mercedes announced it was ready for the “rapid scaling of electric vehicle volumes” as it began preparing its production network for transitioning to luxury EVs. Mercedes began delivering its flagship EQS sedan last year, followed up with the EQE and EQB. With the EQS and EQE SUVs that debuted in October, drivers can choose a fully electric luxury vehicle in every category.
After the successful launch of the EQ series, Mercedes is taking the next steps toward achieving its goal of an EV-only future. For Mercedes-Benz to transition its entire portfolio to fully electric by 2030, it will also need to adapt its supply chain. The automaker revealed new plans to retool its global production network for electric powertrains. According to the press release, Mercedes-Benz says it continues to build out its supply chain network to prepare for a fully electric future.
Electrification
According to a Member of the Board of Management of Mercedes-Benz Group AG, Jörg Burzer said, “Today, our global powertrain production network is already supplying the Mercedes-EQ vehicle plants with state-of-the-art batteries and electrified axles. With the new production setup, our powertrain plants are now optimally positioned for the new vehicle architectures from 2024. Sustainable, digital and flexible, our highly qualified and motivated colleagues around the world are now preparing for the rapid ramp-up of electric drive systems.”
The automaker will invest around 1 billion euros in realigning its production setup for electric powertrain systems, including batteries, drive units, and axles, from 2024. The battery network is two German plants (Kamenz and Brühl) and the Mercedes Bejing plant in China will produce batteries for new EQ models based on the MMA and MB.EA platforms. Two German plants (Kamenz and Brühl) and the Mercedes Bejing plant in China will produce batteries for new EQ models based on the MMA and MB.EA platforms. Hamburg and Mettingen will produce electric axles for Mercedes EQ models. Mercedes said the new setup results in increased flexibility and efficiency at these facilities and paves the way for securing the plant’s future. The plans are being modified considering the current scenario and the expected market scenario. Automakers are rigorously considering the same.