Mercedes-Benz will offer an electric version of every model in its line-up by 2025 as part of an investment plan that will see £34 billion invested in electric vehicle technology between 2022 and 2030.
From 2025, the German firm will launch three electric-only architectures, which are essentially the platforms on which cars are built. Following this, it wants to only be selling electric vehicles by 2030.
Last year Mercedes said it was expecting hybrid and electric vehicles to make up 25 per cent of sales by 2025, but it has now upgraded this target to 50 per cent.
By 2022, it says it will have an electric vehicle in every segment it sells cars in.
Mercedes reckons it will need a battery production capacity of 200GWh and is working on eight ‘gigafactories’ to produce these with its partners around the world. This is in addition to nine plants that are already planned for building battery systems.
The batteries will be highly standardised which will allow them to be compatible with over 90 per cent of Mercedes’ passenger cars and commercial vehicles.
Further investment in new technologies as well as economies of scale should result in increased range and shorter charging times than what is typically experienced now.
A new ‘Plug & Charge’ charging system is also in development and will be debuted with the EQS luxury saloon later this year. The idea is to simplify the charging process without the need for authorisation or payment processing.
Ola Källenius, CEO of Daimler and Mercedes-Benz, said: “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.
“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.
“Thanks to our highly qualified and motivated workforce, I am convinced that we will be successful in this exciting new era.”