New Delhi: German premium carmaker Mercedes-Benz on Thursday launched the new locally produced S-Class starting at Rs 1.57 crore from its Chakan facility in Pune.
The company had launched the imported (completely built unit) version of its new generation flagship sedan S Class in June this year at a starting price of Rs 2.17 crore.
Mercedes-Benz said that with the pandemic situation improving and increasing pressure for vaccination, the economy would be more stable and businesses would return to pre-pandemic levels, and would continue to have a positive ‘sales’ outlook for it. upcoming quarter.
The carmaker had on Wednesday posted one of its strongest quarterly performances, nearly doubling its sales to 4,101 units in the July-September period this year as compared to Q3CY20. However, Mercedes-Benz India Managing Director Martin Schwenk said supply chain challenges could impact sales in the December quarter.
“Overall, the stress on the global supply situation is quite significant. Having said that, I think we are still happy with the situation for us in India, because at least on the semiconductor side, we have supplies for cars. Build and can reduce this to some extent. But it is true, one of our highest order banks, and it causes customer waiting periods, anywhere between four to 16 weeks, in some cases even more, Which is quite unfortunate, and is definitely not something we want. But it is attributed to the overall global shortage and the crisis in the supply chain,” Schwenk told PTI.
He added that high import duty and, to a lesser extent, higher GST rates as well as cess make an imported luxury car expensive and hence it becomes difficult for the customer to buy one.
“At the same time, it clearly pushes them against our own profitability. So we have many markets that are much more profitable than India. And that essentially means in terms of availability of vehicles as well, our Priority may not always be there, as our cars are not as profitable as they are in other markets for the manufacturer,” he said.
“But the biggest challenge is that we cannot develop the market as we want it and then it limits us in further localization and domestic production of vehicles as well. Because we need a fair and large domestic market to develop and produce our cars domestically. So this is one of the issues that we are seeing,” Schwenk said.
Pointing out that the situation is unlikely to change, he said, “What we are doing is we work with the framework and we work with very attractive products and localize to the level that is viable. And we try to compensate by having a huge network in around 50 cities, so we try to plug some of the losses.”
Mercedes-Benz India currently has 13 locally produced models, and has no plans to increase it substantially at this stage.
“With new products to come, we will introduce these cars. But currently our footprint of 13 domestically produced models will remain the same, at least for the foreseeable future,” he added.
With the overwhelming response to the CBU launch variant of the S-Class, Mercedes-Benz is offering the Indian customers a locally manufactured variant that caters to the increased demand for the flagship, the company said at the launch.
The new S-Class is available in two variants – S 350 d priced at Rs 1.57 crore and S 450 4matic priced at Rs 1.62 crore.
“The situation has improved in a big way. And I really believe the worst is behind us and with the pandemic situation improving and a strong push for vaccination, I really think the economy will stabilize going forward,” Schwenk said.
The road to recovery has been really fast as compared to the company’s bumpy ride last year, he said, adding, “We have seen a strong rebound and V-shaped recovery. In the month after June, there has been a steady increase in sales “
“The sentiment of the customers is already strong. We have introduced 11 new products in the market so far during this year, which have played a vital role in attracting the customers.
“We are particularly overwhelmed by the overwhelming response to the new generation S-Class and to meet the increased demand, we are now starting local production earlier than we had planned. We are confident that the locally manufactured S-Class will be able to meet the demand. The class will survive. Its high loyalty from our discerning customers in India,” said Schwenk.
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//$( ".content-area" ).click(function(event) {
// console.log(event.target.nodeName);
//});
/*$( ".comment-button" ).live("click", disqusToggle);
function disqusToggle() {
var id = $(this).attr("id");
$("#disqus_thread1" + id).toggle();
};*/
//$(".main-rhs2400748").theiaStickySidebar();
var prev_content_height = $(content_selector).height();
//$(function() {
var layout = $(content_selector);
var st = 0;
///});
}
}
});
/*}
};*/
})(jQuery);
.