Daimler AG, which owns the Mercedes-Benz brand, has presented a new development strategy. The company plans to entirely switch to the production of electric vehicles by the end of this decade. The news was announced in the official statement.

Daimler's announcement came days after EU authorities unveiled an ambitious plan to ban internal combustion engine vehicles from 2035 in the region to accelerate the transition to zero-emission vehicles.

Last year, the company planned that by 2025, 25% of the cars it produces would be hybrid or electric. Daimler's new plan suggests that by 2025, 50% of the company's vehicles will be electric and hybrid.

The automaker will unveil three new electric platforms that will form the basis of future cars, trucks, and supercars:

  • MB.EA for mid-size and full-size electric vehicles;
  • AMG.EA for Mercedes-AMG sports electric vehicles;
  • VAN.EA for commercial vehicles.

During the transition period – from 2022 to 2030 – the automaker intends to invest €40 billion in the development of electric cars. As early as 2025, all of the company's new machine architecture will be electric. Thus, customers will have the opportunity to choose an all-electric alternative for any model.

At the same time, investments in the production of cars with traditional engines will be reduced by 80% by 2026. According to the press release, Mercedes-Benz will stop developing new vehicles with internal combustion engines from 2025.

However, the company will continue to sell cars with conventional engines. It will transition to electric vehicles only where market conditions allow. That is, Mercedes-Benz will continue to sell ICE cars in markets that are not ready to switch to electric ones completely.