Mercedes-Benz India steals a march over rivals in EV race

New Delhi: German luxury carmaker Mercedes-Benz has raced ahead of rival BMW to wrest the leadership position in India's fast-growing luxury EV segment for the first time last quarter.

Mercedes-Benz sold more than 350 EVs in the three months ended March 31, compared to 211 EVs by BMW India in the same period.

Mercedes-Benz has also firmed up plans to launch three new battery electric vehicles this calendar year to further consolidate its position in the EV space. This will form part of the dozen new models the company plans to introduce during the year.


Overall, Mercedes-Benz India kept its leadership of the Indian luxury car market by selling 5,412 vehicles in the March quarter, a 15% increase from a year ago. BMW India and Audi India sold 3,680 vehicles and 1,046 vehicles, respectively during the period.

Santosh Iyer, managing director at Mercedes-Benz India said the company registered record sales last quarter, as well for the entire fiscal year.

"While there may be some pressure in the entry luxury segment, demand momentum in our core and top-end vehicle segment remains strong. In terms of the sales mix, we can see a qualitative change in the market, which is now coming of age. This makes us confident that we will continue to grow in double-digits this year," Iyer said.

In the just-ended financial year, Mercedes-Benz India posted sales growth of 10% at 18,123 vehicles driven by robust SUV demand. SUVs contribute 60% of sales and a quarter of overall volumes from top-end vehicles priced above Rs 1.5 crore, Iyer said.

Mercedes-Benz India has an order book of 2,000 vehicles. Waiting period on its range of SUVs range from 2-12 months, Iyer said, "We are operating at our lowest ever stock level and working on building a pipeline."

Iyer said the much-speculated entry of US electric carmaker Tesla into India will help expand the market and build consumer awareness about EVs. "We see limited impact on our operations. We operate in a different segment and are focused on growing the luxury car space," he said.

Mercedes-Benz has so far invested Rs 3,000 crore in India since commencing operations in 1994. The company has a product portfolio of 24 vehicle models including imported models.