Mercedes-Benz is reportedly preparing to end production of the EQE sedan and EQE SUV by 2026, according to information reported by Autocar. The two models, introduced recently—the sedan in 2021 and the SUV in 2022—will have been restricted to a particularly short lifespan.
Disappointing sales
The EQE arrived on the North American market with high ambitions, but those were never realized; combined sales of the two variants plummeted by 39 percent in 2024. The significant decline illustrates Mercedes' difficulties in attracting consumers in a segment dominated by competitors like Tesla and BMW.
The entry price for the EQE sedan and EQE SUV is set at $76,050 and $94,900 respectively, while the AMG versions exceed $100,000. But beyond the price, the limited range of the AMG models—only 354 km for the sedan and 370 km for the SUV—have hobbled their competitiveness versus rivals offering better.
A complete overhaul of the electric lineup
Mercedes-Benz also wants to simplify its electric offerings and avoid overlap. The future electric versions of the C-Class and GLC are expected to indirectly replace the EQE line, while an all-electric E-Class is already in the works. That future sedan promises a more classic "three-box" design and a wheelbase focused on prestige, breaking away from the rounded lines of the current EQ models.
Mercedes is thus betting on a more high-end strategy to attract its traditional buyers while remaining competitive against the offensive from Asian brands.
A transition under pressure
The discontinuation of the EQE models highlights the forced reorientation of Mercedes-Benz in an increasingly saturated EV market. Between underwhelming sales performance and heightened competition from other manufacturers, the German brand no longer has the luxury of multiplying its model lines.
As of 2026, Mercedes will focus its efforts on more strategic and profitable models, while seeking to reclaim its benchmark image in the luxury electric segment.