Mercedes is completely rethinking its EV strategy
Mercedes-Benz has had a tough time with its range of electric vehicles lately, which are failing to resonate with the company’s customer base. Some of that is due to a slowing demand for EVs, while some of it is because people just don’t find the brand’s EQ models to be as appealing with their alien-like designs.
Earlier this month, we reported on the news that Mercedes is temporarily suspended new orders of several EVs. That group included the mid-size EQE Sedan and EQE SUV, and now we’ve learned that these slow-selling EVs will go out of production entirely next year.
EQE Was No E-Class
Mercedes-Benz
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While the BMW 5 Series and its electric counterpart, the i5, share similar driving characteristics and near-identical designs, the same could not be said of the EQE in relation to the excellent new E-Class. Not many warmed to the EQE’s molten styling and uninteresting driving dynamics.
Mercedes sold only 2,300 EQEs in the first half of 2025, a massive 74.5% year-on-year decline. BMW i5 sales also declined, but by a less damaging 30%—3,333 i5 sedans were sold over the same period.
As Mercedes revises its EV plans, Autocar reports that the EQE sedan and SUV will go out of production next year, as the brand looks to eradicate some overlap in its lineup.
C-Class EQ And GLC EQ Will Be Indirect Replacements
Mercedes-Benz 
Electric versions of the C-Class and GLC will allegedly serve as indirect replacements for the EQE/EQE SUV. Indirect, because the C-Class/GLC are traditionally compact models, whereas the E-badged Mercs fall into the mid-size category. However, Mercedes recently pulled off a similar trick by replacing both the C-Class and E-Class Coupes with one model, the CLE.
The C-Class and GLC EQ models will be based on the company’s new 800V MB.EA-M platform, which should allow for better packaging. A planned facelift for the EQE models will seemingly no longer happen; they were meant to receive new 800V electric architecture and upgraded electric motors.
Mercedes hasn’t officially confirmed that the EQE will go out of production in 2026, but neither did it deny it. According to a spokesperson, the company has “a policy of not commenting on speculation surrounding its current and future models.”
Mercedes is also set to revise its naming structure for EVs. For instance, the new plan is for ICE and electric large sedans sharing the S-Class name, instead of separate S-Class and EQS models. This strategy is likely to filter down to lower models, too, given the continued demand for more conventionally-styled Mercs.
Ultimately, we’ll look back at the EQE as a rare misstep in the German marque’s history. It was a model that was supposed to capitalize on the reputation of the E-Class, but for a new audience that could appreciate its high-tech, futuristic design. But it seems that Merc fans still want their cars to look and feel like a traditional Mercedes, regardless of what powers it.
