Mercedes-Benz Q1 sales dip amid China slowdown

April 09, 2026 (MLN): German luxury automaker Mercedes-Benz reported a 6% decline in global car sales for the first quarter of 2026, as robust demand in the U.S. and Europe could not fully compensate for a sharp downturn in China.

The company sold 419,400 vehicles during the quarter, while combined global car and van sales fell to 499,700 units, reflecting the mixed performance across key markets.

China, Mercedes-Benz’s largest market, saw a 27% drop in car sales, which the automaker attributed to a transition year involving the replacement of several major models.

To strengthen its market position, Mercedes-Benz is expanding its portfolio in China with vehicles featuring diverse drivetrains, advanced driver-assistance systems, and China-specific premium infotainment systems.

In contrast, the U.S. market experienced a 20% increase in car sales, fueled by continued demand for high-end Mercedes-AMG and Mercedes-Maybach models.

Mercedes-Benz highlighted its focus on localizing products and enhancing value creation in the region. European sales also showed a 7% rise, contributing to overall recovery efforts outside China.

Battery-electric vehicles (BEVs) posted a 9% year-on-year increase, totaling 44,300 units, primarily driven by the new electric CLA model.

Strong demand for the model has pushed production to full capacity across three shifts at Mercedes-Benz’s Rastatt plant in Germany.

Despite global challenges, Mercedes-Benz remains committed to expanding its electric vehicle lineup and tailoring offerings to regional markets, signaling a strategic focus on long-term growth amid a transitional 2026.

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