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Mercedes-Benz's new sport-trim EVs will get a sensory experience that mimics gas cars. Car seats will shake.
After decades of winning over Chinese buyers with its German engineering, Mercedes-Benz sold only 1,153 units in China in the first half of 2026, a fraction of the more than 80,000 similarly priced SU7 sedans Xiaomi delivered in the period. The performance echoes the challenges BMW, Volkswagen and Porsche face in China, where they all reported second-quarter sales declines of at least 30%, worse than the overall market's drop.
Two drivers of Mercedes-AMG cars have filed a class action lawsuit against the luxury car company after they allegedly suffered burn injuries from the AMG logo on their driver's seat.
Mercedes-Benz Group offers attractive asymmetric risk/reward, with current valuation reflecting China headwinds but not operational improvements or capital returns. MBGAF's margin recovery to 6.0–6.5% by 2027, driven by cost reductions and new model launches, could generate €2 billion in incremental operating profit. Dividend yield near 7% and ongoing share repurchases amplify per-share returns; consensus expects EBIT and free cash flow growth through 2027.