BERLIN — Mercedes Benz is investing more than previously planned in combustion engine technology, including 14 billion euros ($15 billion) this year for its passenger cars, its CEO told the German publication Working week.
The premium carmaker invested in factories and research and development, reworking its car’s powertrain hybrid cars so that it will continue “well into the next decade,” Ola Kaellenius said in comments published Thursday.
It had also spent “much more” than it normally would on a facelift of the combustion engine version of its flagship S-Classwhich will be released on the market in mid-2026.
“Our engines will always be at the highest technological level. Otherwise we would suddenly shut down our combustion engine business in 2027/28,” he added.
Kaellenius’ comments come after the executive told investors in February that the company would continue to revamp combustion engine models as demand for electric cars.
The automaker had long said it was preparing for 100% of sales by 2030, “where market conditions allowed,” but Kaellenius said earlier this year that the company now expected just 50% of sales to be electric vehicles , under which hybridsby the end of the decade.