Mercedes-Benz India has marked a major manufacturing milestone with the rollout of its 200,000th locally produced vehicle from its facility in Chakan, Pune. The milestone car, an EQS SUV, was rolled out by Dr Jörg Burzer, a senior board member of Mercedes-Benz Group AG, signalling both the company's production capability and its gradual shift towards electric mobility. While the figures demonstrate a clear commitment to the Indian market, questions remain over the scale of electric vehicle adoption and the localisation pace in the broader luxury EV segment.
The production journey of Mercedes-Benz in India began modestly, taking 19 years to reach the 50,000-unit mark in 2014. However, the pace has picked up significantly. The next 100,000 units were produced in just nine years, while the latest 50,000 vehicles were rolled out in only two years and three months. This acceleration underlines growing demand for premium vehicles in India, and an expanding customer base willing to pay the price for luxury. Prices for Mercedes-Benz models manufactured in India range from approximately INR 43 lakh for the A-Class Limousine to over INR 1.70 crore for high-end variants like the locally assembled EQS 580.
Mercedes-Benz's Pune facility now manufactures 11 different luxury models, making it the widest locally produced portfolio among luxury brands in the country. Notably, India was the first country outside Germany to manufacture a Mercedes-Maybach (S500) in 2015. The company began its local EV production in 2022 with the EQS 580 sedan and added the EQS 580 SUV in 2024. Despite these steps, electric volumes still form a fraction of overall output, and the transition to fully localised EV manufacturing is a long-term process.
Mercedes-Benz India has invested INR 3,000 crore in its local operations to date, with an additional INR 200 crore committed in 2024 alone. The company also claims to run its plant on 100% renewable energy since 2022, aligning with its global sustainability goals.
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