In 2021, the automaker was one of six that committed to phase out new gasoline- and diesel-powered vehicles by 2040 worldwide and by 2035 in leading markets. Additionally, Mercedes-Benz had announced plans to be electric only by the end of the decade where market conditions allow.

During an interview at the 2023 Munich Auto Show, Chief Executive Officer Ola Kaellenius said that Mercedes-Benz does not expect its sales in Europe to be all-electric in 2030 but will have its lineup ready, as reported by Reuters.

The European EV market has increased sales significantly in 2023. In June, the battery electric car market share surged from 10.7 to 15.1%, overtaking diesel share for the first time, according to the European Automobile Industry.

Despite the EV surge in the European market, “It’s not going to be 100% in 2030, obviously… from the whole European market but probably from the Mercedes side as well,” said Kaellenius.

“We will be ready… but we will also have tactical flexibility,” he said, referring to Mercedes-Benz’s ability to produce electric or combustion engine vehicles on the same line.

Also at the Munich Auto Show, Kaellenius unveiled a new line of electric vehicles. “The Concept CLA Class is the forerunner for an entirely new all-electric segment of entry-level vehicles at Mercedes-Benz. The range will comprise a total of four new models–a four-door coupe, a shooting brake and two stunning SUVs–each with significantly elevated product substance,” he said.

Ford, another one of the six automakers that committed to manufacturing EVs, announced the F-150 and 2023 Mustang Mach-E as fully electric vehicles with plans for more. Additionally, Ford Pro released commercial chargers to build a charging network nationwide for Ford customers.