Mercedes-Benz’s entry-level model receives a reprieve – report. Despite initial plans to discontinue the Mercedes-Benz A-Class, the timeline for its discontinuation has been extended.
The beloved A-Class will remain in production well into 2026, a significant shift from its previously imminent departure as Mercedes-Benz prepares to phase out several of its less lucrative models.
According to Autocar, the A-Class was originally slated for discontinuation this year, coinciding with the introduction of Mercedes-Benz’s new MMA small car architecture.
Mercedes-Benz CEO Ola Källenius acknowledged that achieving cost parity between electric vehicles (EVs) and combustion-powered vehicles will take “many years”, citing pricing differentials as evidence of the ongoing disparity.
Recently, the company revised its target for EVs to represent 50 percent of its global vehicle sales, pushing the deadline from 2025 to 2030 and incorporating plug-in hybrids into the equation.
While the entry-level Mercedes-Benz GLA SUV starts at $68,900 before on-road costs in Australia, its electric counterpart, the EQA, commands a higher price tag of $82,300 before on-roads. Mercedes-Benz has confirmed plans to introduce just four vehicles on its new MMA platform, including electric variations.
The upcoming lineup of ‘Entry Luxury’ vehicles will feature a four-door coupe and a shooting brake, serving as successors to the existing CLA, along with two SUVs expected to replace the current GLA/EQA and GLB/EQB models.
As a result, the A-Class hatch and sedan, as well as the B-Class people mover, are facing elimination.
The first production vehicle based on the MMA platform is anticipated to debut later this year. Mercedes-Benz intends to refine its ‘Entry Luxury’ offerings to better align with the preferences of discerning customers, while also aiming for higher profit margins on these models.
This strategic shift is part of a broader corporate initiative to achieve an operating margin target of approximately 14 percent by the mid-2020s under favorable market conditions or eight percent in less favorable conditions.
Despite its impending discontinuation, the A-Class remains a popular choice, ranking as Mercedes-Benz’s fourth best-selling vehicle in Australia in 2023, following the C-Class, GLC, and GLE.
