Mercedes-Benz Group plans to invest more than CNY14 billion with local partners in China to enrich its localized portfolio of cars and vans, a move that further highlights its continuous confidence in China. Chinese experts said that German companies, which “vote with their feet” by increasing investment in China to strengthen the industrial and supply chains, show recognition of the vitality and innovation strength of the Chinese market. Such moves are in stark contrast with the so-called “de-risking” approach advocated by some Western politicians. From 2025, Mercedes-Benz will localize the all-new long-wheelbase electric CLA and an all-new long-wheelbase derivative of the GLE sport utility vehicle (SUV), as well as an all-new luxury electric van model based on the VAN.EA architecture. The new long-wheelbase GLE SUV is for the first time being developed by the R&D team, with China-exclusive rear seat comfort and leading intelligent technology.
“The investment is a natural choice for us. Our China strategy is one of the main pillars of our overall global strategy,” Ola Källenius, Mercedes-Benz Group's Chairman, told the Global Times. “The dynamism of this market, the pace of innovation, the transformation into new-energy vehicles makes China really kind of the next phase for us,” he added. The transformation of the strategic layout, advanced technological innovations, and latest blockbuster products will continue to be implemented in China at “China speed.” Given such investment, it is clear that the so-called “de-risking” approaches advocated by some Western politicians are the products of politicization, and such approaches are not in line with market principles and laws, Cui Hongjian, Professor at the Academy of Regional and Global Governance with Beijing Foreign Studies University, told the Global Times.
