Mercedes-Benz became India’s first luxury car brand to assemble 2,00,000 passenger vehicles locally. This milestone was achieved with the rollout of Mercedes’ electric flagship, the EQS SUV, from its Chakan plant in Pune, Maharashtra. While the first 50,000 units took 19 years (1995-2014) to assemble, the remaining 1,50,000 four-wheelers required just a decade (2015-2025), translating into a 470 percent jump in production.
- The last 50,000 units took 2.3 years to manufacture
- In 2018, the E-Class LWB (V213) became the 100,000th car to come out of this factory
“Mercedes’ remarkable milestone underlines India’s potential as a key manufacturing hub in the long run. The [Chakan] plant has achieved a high level of production agility, manufacturing world-class ICE and EVs under one roof,” noted Dr Jorg Burzer, a member of the board of management of Mercedes-Benz Group AG, while rolling out the EQS SUV.
“We will stay invested in our state-of-the-art manufacturing facility, catering to growing market demand,” said Santosh Iyer, Mercedes India MD and CEO.
The production facility has received an investment of over Rs 3,000 crore over the years, including a fresh Rs 200 crore funding in 2024.
In 2015, the Chakan facility became the first to produce the Mercedes-Maybach S500 outside Germany. Local assembly of the EQS sedan began in 2022, the same year the plant made a full transition to using renewable energy. It was followed by the EQS SUV in 2024. Mercedes India’s current portfolio has 11 completely knocked down (CKD) models, which is the highest for a luxury car manufacturer in the country.
Mercedes India FY2025 sales
E-Class LWB bestselling model
The German car brand sold 18,928 cars during FY2025 in the country, registering a 4 percent YoY growth compared to the year-ago period. As per Mercedes, this was its highest-ever sales in a financial year, with the new E-Class LWB being the top seller. The top-end vehicles (TEVs; cars with above Rs 1.5 crore price tag) saw a 34 percent increase with strong demand for the AMG G 63, Maybach Night Series models and the new electric G-Class. The EQS SUV was its bestselling electric vehicle in the last FY, with overall EV sales rising by 51 percent. SUVs dominated the sales charts, occupying a 60 percent share of the total.
However, in the quarter that ended in March 2025, retail sales fell by 11.8 percent to 4,775 cars. The decline was attributed to weaker performance in the entry-level segment; its TEV segment grew by 6 percent in the same period.
This year, Mercedes will be introducing eight models in the Indian market. Some, like the G 580, EQS 450 SUV and Maybach SL 680 roadster, have already been launched.
Also, see:
Luxury car sales FY2025: Mercedes retains top spot; E-Class LWB bestselling model
Mercedes India to launch 8 new cars, SUVs this year
Ford EcoSport most popular used compact SUV in Q1 2025: Spinny
