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Mercedes Quietly Pauses EV Deliveries To US While Slashing Prices Behind The Scenes

  • Mercedes paused EV shipments to the U.S. citing low demand and dealer inventory.
  • It will also cut EQE and EQS prices by up to 16 percent starting with the 2026MYs.
  • Rising tariffs and shrinking incentives are making U.S. EV sales difficult to sustain.

A market that only “creeps upwards” isn’t exactly what most brands hope for. Still, that’s what Mercedes-Benz expects from the U.S. electric vehicle market. It’s one reason the company has paused some EV deliveries to the States.

Notably, Mercedes makes some EVs in the USA already. It has a production facility in Alabama. On top of that, the automaker says that dealer inventory is high right now and demand is weak. All of that combined leads to the decision that’s made today. Essentially, if you want a new Mercedes EV, you’ll have to buy one that’s already in stock.

More: VW Denies Halting ID. Buzz Exports To US Over Tariffs

Speaking to Reuters, a spokesperson said that “Mercedes-Benz is temporarily putting on hold order banks for EQ models in the U.S. to align with current market demand.” That quote comes after CEO Ola Kaellenius mentioned that the brand as a whole expected EV sales to slow down during a Q2 presentation.

Tariffs, Incentives, and Price Pressures

“We don’t believe that the BEV demand in the United States goes to zero: we still think that the medium to long-term adoption rate of BEVs in the U.S. will creep upwards,” he said. Of course, this is all happening during a time when industry sands are shifting, most notably in America. Tariff pressures have combined with the end of EV tax incentives to drive prices up for consumers. 

 Mercedes Quietly Pauses EV Deliveries To US While Slashing Prices Behind The Scenes

In an effort to stay competitive and better align with shifting consumer expectations, Mercedes also plans to lower the base prices of several of its electric models. The company told Reuters that starting with the 2026 model year, it will reduce prices on its EQE and EQS sedans and SUVs by anywhere from 4 to 16 percent, not including delivery fees.

Automakers all over the globe are recognizing the need to adjust their strategies. Jaguar and Land Rover have delayed their EV projects. Porsche has done the same with its electric Boxster. It’s even working on a next-gen gas-powered Macan because of market pressures.

Companies like General Motors and Stellantis have already lost billions due to tariffs despite building plenty of cars in the USA. Other automakers like Porsche and Kia are raising prices. Nations like Canada are considering internal regulation changes to sidestep tariffs, too. All of that said, this likely won’t be the last reaction we see from a company like Mercedes regarding EVs and industry pressures. 

 Mercedes Quietly Pauses EV Deliveries To US While Slashing Prices Behind The Scenes

Mercedes Just Took A Chainsaw To EQ Prices And Pulled The Plug On Orders

  • Mercedes has cut the prices of its EQ electric cars and SUVs to get stock moving.
  • Buyers can save around $4k on an EQS sedan and up to $15k on its SUV brother.
  • The brand has also stopped taking orders for its existing EQ lineup in America.

A year or two ago, Mercedes seemed confident that American luxury buyers were ready to embrace its new line of electric vehicles. That confidence hasn’t translated into sales. Mercedes’ luxury electric vehicle experiment has proved a flop in the US, and now the company has lopped thousands of dollars off the prices of its EQ EVs to get stock moving.

Related: Mercedes EV Sales Are In Freefall, EQS Down More Than 50%

The discounts range from just over $4,000 to more than $15,000 on the EQE and EQS sedans and SUVs, which sales figures show American buyers haven’t taken to. Mercedes is offering a $9,950 saving on the EQE sedan, whose price falls from $76,050 including destination to $66,100, and a big $12,950 off its utility brother. The EQE SUV originally cost $79,050, but you can now bag one for $66,100.

Some of the Biggest Price Cuts Yet

The smallest savings to be had are on the EQS sedan, whose $105,550 price has dropped by $4,150 to $101,400. But the EQS SUV, which previously cost more than the sedan ($106,400), is now just $91,100, saving interested parties a massive $15,300, according to a story from CarBuzz containing prices since verified by Mercedes.

At the same time as it’s cutting prices to clear existing stock, Mercedes says it has stopped taking orders for all four EQE and EQS cars and SUVs, and that its Alabama plant, where the SUVs are built will stop producing US-market versions of the vehicles from September 1. It will, however, continue to build them for other markets.

 Mercedes Just Took A Chainsaw To EQ Prices And Pulled The Plug On Orders
Mercedes

Closing the order book and shutting production was the result of Mercedes wanting to “align with customer and market demand,” a spokesperson for the automaker told Car and Driver. “We are unable to share a timeline for when U.S. order banks for these models will reopen for competitive reasons,” they added.

What’s Next for Mercedes EVs in the US?

This isn’t the end of the EQ story in the US, though. The company’s all-new CLA electric sedan comes to America later in 2025 and will be followed within the next couple of years by a pair of SUVs built around the same MMA platform.

The electric GLC SUV, due to make its debut in Munich this September, and confirmed for production in Alabama, will also land in US showrooms in 2026, and the electric G-class remains on sale, though sales for that have also proved disappointing.

 Mercedes Just Took A Chainsaw To EQ Prices And Pulled The Plug On Orders
Mercedes

Mercedes Says The World Wasn’t Ready For The EQS

  • Mercedes will replace the EQS with both EV and ICE versions of the next S-Class.
  • According to the brand’s design chief, the EQS was launched 10 years too early.
  • In 2024, the carmaker tried to improve the sedan’s looks with a refreshed front grille.

The Mercedes-Benz EQS was supposed to be a solid alternative to the Tesla Model S, having launched at a time when premium brands were doing everything they could to establish themselves in the EV market. However, its styling, defined by the ultra-aerodynamic “jelly bean” design, has long faced criticism, which has, in part, hindered the sales Mercedes had hoped for. Now, the automaker has admitted it missed the mark with the EQS.

Mercedes-Benz’s design chief, Gorden Wagener, recently admitted that the EQS might have been “probably 10 years too early” and acknowledged that the vehicle wasn’t marketed in the best way. While many view the EQS as an all-electric version of the S-Class, Mercedes insists that was never the intent. The EQS wasn’t meant to be a chauffeur-driven luxury sedan like its flagship counterpart, and its design reflects that difference.

Read: Next Mercedes S-Class To Offer EV And ICE, Making EQS Obsolete

“It’s a very, very progressive car and, of course, it was not originally designed as a chauffeur limousine,” Wagener explained to Autocar. “That was not the intention. Many people in this class expect a long hood [bonnet] and status from a chauffeur car, and the EQS is different there. It’s a completely different car. Maybe we should have marketed it differently, more like a futuristic CLS, S-Class Coupé or something like that.”

 Mercedes Says The World Wasn’t Ready For The EQS

Efforts to Address the Design

In an attempt to make the EQS more traditional, Mercedes-Benz gave the car a subtle facelift last year, which included a redesigned grille. However, the egg-shaped design of the electric sedan remained unchanged.

As a result, Mercedes-Benz has decided there will be no second generation of the EQS. Instead, the company is planning to merge the S-Class and EQS into one model line that will offer both internal combustion engine and electric powertrains, similar to what BMW has done with the 7-Series and the i7.

This new combined model line may not arrive until 2030, meaning the EQS could remain in production for several more years. In the meantime, Mercedes-Benz will continue to update the EQS, with another comprehensive refresh expected as soon as next year. However, don’t expect major design changes, as the focus will likely be on refining the car’s features rather than overhauling its aesthetic.

 Mercedes Says The World Wasn’t Ready For The EQS
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