Mercedes-Benz, the luxury brand owned by Daimler ADR (OTC: DMLRY), launched Wednesday an all-electric SUV, the EQA, in a bid to meet the regulatory target of having a proportion of emission-free vehicles in its portfolio and also to take on the competitive threat posed by EV leader Tesla Inc (NASDAQ: TSLA).
What Happened: EQA is the new entry model of the Mercedes EQ family, Marius Philipp, the product manager for the EQA at Mercedes, said in the launch video.
It is positioned as a car that meets the demand for urban mobility. The EQA 250 model premiered offers over a range of 420km, according to WLTP.
It would come with a 66.5 kilowatt-hour battery pack, with the list price at 39,950 euros ($48,400).
The company is also planning a variant with over 500km in range in the future.
The EQA is based on the company’s GLA class of SUVs.
The EQA 250 model has an output of 140 kWh and has a combined consumption of 15.7 kW/100km, and combined carbon dioxide emissions of 0g/km. Further power levels of more than 100 kWh as well as a variant with all-wheel drive are expected to follow.
The vehicle allows for preconditioning thermal management before starting via Mercedes-Benz user experience or the Mercedes me app.
The compact SUV, which is built in Rastatt in Germany and Beijing in China, will be made available at European Mercedes-Benz dealerships in the spring.
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Why It’s Important: Europe has been pushing for a ban of fossil fuel vehicles, with some markets in the region targeting a deadline of 2030.
Some markest like Norway have witnessed a higher proportion of green energy vehicle sales to total vehicles relative to markets elsewhere. In December, 50% of the cars sold in Norway were EVs.
This explains the traditional automakers’ push toward EVs.
Tesla, meanwhile, has a head start in EV sales by virtue of it being the pioneer, and its mass market vehicle Model 3 is the best-selling EV in the world.
Photo courtesy of Mercedes-Benz.
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