Mercedes India sales drop by nearly 3 percent in 2025 – Autocar India
Mercedes-Benz India has announced its sales figures for the previous year, and its 12-car strong launch plans for 2026, beginning with the locally assembled GLS Maybach and the EQS SUV Celebration Edition. While the German luxury marque still leads the sales charts, the margin between Mercedes and second-placed BMW has reduced significantly to just 1,736 units in 2025, compared to 3,844 units in 2024. This is a result of Mercedes sales falling by 2.85 percent year-on-year (19,007 units in 2025 compared to 19,565 units in 2024), while BMW India posted its highest-ever sales of 17,271 units, recording a 15.05 percent increase over 2024’s 15,012 units.
Of the total 19,007 units retailed last year, sales of Mercedes’s entry-level models saw a 20 percent decline, only contributing around 2,470 units (13 percent). Speaking about the decline Entry-luxury portfolio, India MD and CEO Santosh Iyer said that the higher segments – called Core and Top-End – are more lucrative and sustainable, and the brand does not want to “get into a price war”.
Further, Iyer stated that after September 2024’s GST-related price revisions, demand for Mercedes diesel cars has gone up to 43 percent, from 39 percent. The company has an extensive diesel model portfolio, with nearly every model line offering an oil-burner engine option.
Despite the overall drop in sales, Mercedes India says that 2025 was its best-ever in terms of revenue, and that the E-Class remains India’s bestselling luxury car. That the Core segment (including the likes of the E-Class sedan and GLE SUV) contributed a massive 62 percent to the brand’s sales, highlights Mercedes’s strategy to focus on the more profitable segment. Further, sales of the brand’s top-end vehicles (cars priced over Rs 1.25 crore) saw a 11 percent increase, and now contribute 25 percent to Merc’s total sales. This was underlined by sales of Mercedes-AMG cars increasing by 34 percent, and that 20 percent of all EVs sold belonged to the top-end segment, growing by 12 percent compared to last year.
Mercedes India has also announced that it will launch 12 new cars in the country this year. Some will be facelifts, some will be all-new models without a predecessor, and many will be all-electric and Top-end cars, falling on the higher side of the luxury segment. As we had reported in our upcoming Mercedes-Benz launches in India in 2026, the CLA EV is expected to be the first of the new models to arrive this year, with the G-Class Cabriolet likely to arrive before the year is out. Details on the other 10 launches are scarce at the moment. Stay tuned.
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