With its portfolio refresh, Mercedes-Benz will focus on the higher-end luxury segment rather than chasing volumes in the entry-level space
Mercedes-Benz ended FY26 on a confident note, continuing its leadership as the No. 1 luxury brand in India. With sales at 19,363 units in FY26, the carmaker registered a YoY gain of 2.3%. In the latest development, Mercedes-Benz has removed multiple models from its website. This could be linked to the carmaker’s revised strategy for India based on evolving market dynamics and consumer preferences. Let’s check out the details.
Mercedes ICE range – A-Class discontinued
After the discontinuation of the A-Class sedan, the existing GLA SUV will be the most accessible Mercedes-Benz model in India in the ICE segment. The A-Class was launched in India in 2021, primarily targeted at first-time luxury buyers. It came with turbo petrol and diesel engine options, and utilized advanced tech such as the MBUX (Mercedes-Benz User Experience) infotainment system.
Mercedes A-Class was last available in the price range of Rs 44.46 lakh to Rs 45.92 lakh. In the ICE segment, the new entry-point in Mercedes lineup is now the GLA SUV. This has the same platform and engine options, as the A-Class. However, being an SUV, the GLA is a more versatile machine in comparison to the A-Class Limousine. Mercedes GLA SUV is available in the price range of Rs 51.80 lakh to Rs 55 lakh.
Mercedes EVs – EQA, EQB and EQE SUV discontinued
In the luxury electric segment, Mercedes has discontinued the EQA, EQB and EQE models in India. This move comes ahead of the launch of CLA EV, which is scheduled to debut on 24th April. Before this portfolio refresh, the EQA was the most accessible Mercedes EV in India. It was offered in the price range of Rs 66 lakh to Rs 68 lakh. Equipped with a 70.5 kWh battery pack, the EQA offered a range of around 560 km.
Key features included Burmester surround sound system, 64-color ambient lighting and a panoramic sunroof. Mercedes EQB was positioned as a versatile family SUV, offered in the price range of Rs 72 lakh to Rs 79 lakh. One of the key USPs of EQB was the option for a 7-seater configuration. This is something that is rare in the luxury EV segment. EQB was available in both FWD and AWD versions, with a range of up to 535 km.
While the EQA and EQB used an ICE-derived platform, the EQE SUV is built on a dedicated electric platform. It was offered in the price range of Rs 1.39 crore to Rs 1.41 crore. Equipped with a large 90.56 kWh battery pack, the EQE SUV offered a range of 550 km. Key features include a massive 56-inch curved glass dashboard with three screens and air suspension.
CLA EV, the new entry-level Mercedes EV
The CLA EV will be the new entry-level offering from Mercedes in the electric segment. Bookings for the CLA EV are currently open for a token amount of Rs 1.5 lakh. Mercedes CLA EV is underpinned by the new MMA (Mercedes Modular Architecture), an EV-first platform engineered to maximize efficiency.
Key features of CLA EV include an 800-volt architecture, 2-speed transmission and a large triple-display setup. CLA EV has a remarkably low drag coefficient of 0.21 Cd. It will be available in standard and long-range versions, with a range of up to 792 km. It is expected that the upcoming CLA EV will be offered in the price range of Rs 51.80 lakh to Rs 55 lakh.
Focus on higher-end luxury models
With its portfolio rejig, Mercedes is signalling a shift in its strategy for the Indian market. In FY26, the brand’s top-end vehicle sales registered a double-digit growth of 16%. In comparison, growth in the entry-level luxury segment shrank by 18% YoY. Instead of engaging rivals in a price war, Mercedes will focus on the higher-end of the luxury segment. Demand for Mercedes top-end cars (models priced above Rs 1.25 crore) remains robust. These now contribute around 25% to the brand’s total sales.
