The popular Mercedes-Benz A-Class is set to stick around longer than expected, even as the German brand moves to axe many of its more affordable, less profitable models.
Autocar reports the A-Class will be produced “well into 2026”. It was originally set to get the axe as soon as this year as Mercedes-Benz readies its new MMA small car architecture.
Mercedes-Benz boss Ola Källenius said cost parity between electric vehicles (EVs) and combustion-powered vehicles is “many years away”, with the CEO saying, “You can see that in the pricing.”
The company recently delayed its target for EVs to account for 50 per cent of its global vehicle sales from 2025 to 2030, and that goal has also been changed to include plug-in hybrids.
The most affordable version of the A-Class’ SUV sibling, the GLA, is priced at $68,900 before on-road costs in Australia. Its electric EQA sibling, however, is priced at $82,300 before on-roads.
Mercedes-Benz has confirmed it will offer just four vehicles on its new MMA architecture, though this is expected to include electric variants.
This range of ‘Entry Luxury’ cars will comprise a four-door coupe and a shooting brake – successors to the current CLA – plus a pair of SUVs, expected to replace the current GLA/EQA and GLB/EQB.
That leaves the A-Class hatch and sedan and B-Class people mover on the cutting room floor.
The first MMA-based production vehicle is expected to debut this year.
Mercedes-Benz has confirmed it’ll reposition its Entry Luxury vehicles, “honing in more precisely on the wishes of discerning customers”.
It’s also aiming to record higher profit margins on those vehicles, as part of a broader push by the company to reach an operating margin target of around 14 per cent by the middle of the decade in favourable market conditions or eight per cent in “very unfavourable” conditions.
The A-Class was Mercedes-Benz’s fourth best-selling vehicle in Australia in 2023 with 2392 sales, behind only the C-Class (2625 sales), GLC (3631 sales, plus another 1799 examples of the GLC Coupe) and GLE (2535 wagons and 809 coupes).