Mercedes-Benz has announced that it will go all-electric by the end of the decade. The company stated that by 2022, it will introduce battery electric vehicles (BEV) across all segments. Further to this, from 2025 onwards, all newly launched vehicles architectures will be electric-only and customers will have the option to choose an all-electric alternative to every model the company makes.
“The EV shift is picking up speed — especially in the luxury segment, where Mercedes-Benz belongs. The tipping point is getting closer and we will be ready as markets switch to electric-only by the end of this decade,” Ola Källenius, CEO of Daimler AG and Mercedes-Benz AG, said in a prepared statement. “This step marks a profound reallocation of capital. By managing this faster transformation while safeguarding our profitability targets, we will ensure the enduring success of Mercedes-Benz.”
The company is allocating a total of €40 billion ($47.2 billion USD) between 2022 and 2030 in investments in electric vehicle R&D. Mercedes expects this investment to move the tipping point for EV adoption forward.
In order to power all of these EV goals, Mercedes predicts it will need more than 200 Gigawatt hours-worth of batteries. It will therefore build eight Gigafactories around the world with its partners in addition to the nine plants it has previously dedicated to battery production.
Mercedes-Benz is also developing an all-new electric car – the Vision EQXX, which is claimed to offer a real-world range of over 1,000 km. Its world premiere is scheduled for 2022.
The German carmaker will also set up “Plug & Charge”, which will allow customers to plug-in, charge and unplug their EVs, without hassle. The new Plug & Charge network will go live alongside the market launch of the EQS, which is slated for later this year.