According to foreign media reports, Mercedes-Benz Chief Technology Officer Markus Schaefer said on July 8 that the company will wait and see whether demand for electric vehicles will pick up before increasing battery production capacity.
Mercedes-Benz said in 2022 that by 2030, the company will need more than 200 GWh of battery production capacity and plans to build eight battery factories around the world with partners, four of which are located in Europe.
However, as the current market demand for electric vehicles is lower than many automakers expected, Mercedes-Benz said earlier this year that it expects sales of electric vehicles (including hybrid vehicles) to reach 50% of the company’s total sales by 2030, five years later than the previous forecast of 2025.
Schaefer said on July 8 that the 200 GWh production capacity expectation is based on the assumption that by 2030, all of the approximately 2 million vehicles sold by Mercedes-Benz each year will come from electric vehicles. “Is 200 GWh of battery capacity still necessary? That’s a question that will take time to decide,” Schaefer said.
In 2022, Mercedes-Benz signed a supply agreement with Chinese battery maker CATL for the company’s 100 GWh Hungarian plant, but the company did not disclose the size of the deal.
Mercedes-Benz will also receive batteries from a 40 GWh plant in France through its joint venture ACC, in which it holds a 30% stake. ACC last month suspended plans to build two more plants in Germany and Italy due to low demand for electric vehicles. Mercedes-Benz also has other battery suppliers in the United States and China.
“We are relatively flexible. When our needs are more transparent, we will consider the next plan,” Schaefer said, referring to Mercedes-Benz’s current supplier relationships, adding: “This is enough for us to cope with the next stage of demand.”
Mercedes-Benz has not reduced its investment in electrification of its product line, and Schaefer said that in addition to plans to update vehicles to meet emissions regulations, Mercedes-Benz will no longer invest heavily in internal combustion engine vehicles.
Still, Mercedes Chief Executive Ola Kaellenius said in February the company would ensure its lineup of internal combustion engine vehicles remained competitive into the next decade to meet demand.
Post time: Feb-14-2025
