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Monday, 27 July 2020 18:40

Mercedes To Ax Several Cars in U.S.: Report

Written by Jacob Oliva, Motor1.com

Not more than two weeks ago, we reported Mercedes is ending the production of the C-Class sedan in the U.S., as well as the A-Class in Mexico.

This was due to the coronavirus pandemic, which has affected several automakers around the world.

 

It's only a matter of time before we see the next-generation C-Class sedan, but it seems like its coupe and convertible versions won't reach U.S. soil. According to a report by Automotive News, Mercedes-Benz is reducing its portfolio in America, and the likely candidates are---you've guessed it---the C-Class coupe and convertible, along with the S-Class and E-Class coupes and convertibles, plus the CLS Coupe and one of the GT models.

 

These models aren't confirmed, however, but Automotive News reports Mercedes-Benz USA CEO Nicholas Speeks told dealers in a webinar in late June that seven car models will be axed. Specifics weren't provided by Speeks and Automotive News also failed to get a comment from a Mercedes spokesman about the future lineup.

 

The reduction of Mercedes' portfolio is welcomed by the dealers, as one of their qualms is the bloated U.S. portfolio that has reached 15 nameplates.

 

As expected, Mercedes-Benz's U.S. lineup will remain enriched with SUVs, which proved to be the marque's profitable models. There has been a 73% increase in luxury crossover sales in the past five years.

 

In contrast, luxury car sales declined by 37% in the same period. Sedans will remain, as well.

 

The complexity of Mercedes' lineup, which includes varying body styles under a single name, adds cost to the automaker, and Mercedes sure knows that.

 

With the current pandemic not slowing down, Mercedes will, of course, find a way to cut costs. And yes, this is all part of Daimler's global cost-cutting plan, and we might see more of this in the months to come even with other automakers. Well, hopefully not.

 

We thank Motor1.com for reprint permission. 

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