Mercedes To Expand Entry-Level EV Luxury Car Market With New CLA Electric
– German luxury carmaker Mercedes Benz is investing heavily in the adoption of electric cars and young buyers are opting for green vehicles for daily use and weekend trips, a senior official said.
“Our electric car sales have increased and the market is responding well to our electric product range,” Mercedes Benz India CEO and MD Santosh Iyer told Financial Chronicle.
Iyer said Mercedes electric cars grew by 12 percent in calendar year 2025 and accounted for 20 percent of total Mercedes cars sold in 2025. “About 70 per cent of electric vehicles sold in 2025 were high-end cars priced between Rs 1.25 crore and Rs 3.10 crore,” Iyer said.
The Pune-based automaker now wants to introduce its most affordable EV, the CLA Electric, priced around Rs 58 lakh, to expand its presence in the entry-level luxury segment targeting young successful entrepreneurs.
“Young Gen Z businessmen and women are looking for smart and tech-enabled electric cars for both daily and weekend getaways,” Iyer said, adding that bookings for the imported all-new Mercedes CLA Electric sedan will start from March 10 and deliveries will begin in April.
Mercedes said that although the CLA Electric sedan is an entry-level luxury car, it is a technology-oriented car and won the title of European car of 2026.
It offers a WLTP-certified range of 792 km per full charge; The company believes this will reduce range anxiety among car enthusiasts and make it ideal for long-distance trips with family and friends.
“We plan to expand the entry-level luxury car market with this new CLA Electric model because it offers high-end technology features at a more accessible price point,” Iyer said.
He said that the demand for Mercedes models has always been high, but the conversion to purchase was a little slow due to geopolitical uncertainties.
