Mercedes-Benz has well and truly slowed down its plan to become an all-electric brand by 2030. This is not much of a surprise; the company has been testing the market with little snippets that indicate this may be the case. Now, they are talking about pushing the deadline back to around 2035.
As we reported nine months ago, CEO Ola Källenius admitted demand and infrastructure haven’t kept pace with ambition. Today, BEVs make up about 11% of sales (rising to about 19% if you include hybrids), and US dealers report EVs sitting unsold for nearly 84 days which is of course a clear sign that the market isn’t quite ready.
For us petrol heads, the news gets even better as Mercedes seems to be doubling down on investment in its ICE platforms, promising more combustion-engine models well into the next decade. Of course, this is a pragmatic nod to buyers who still crave engines and range.
Mercedes isn’t alone. Audi and Volvo have both performed similar U-turns in recent months.
Over at Audi, they have decided to scrap the 2032 target to be fully electric. CEO Gernot Döllner confirmed a return to developing new ICE and plug-in hybrid models, even hinting at the revival of petrol-powered models like the R8. Audi will continue selling combustion variants well past 2032—even if European ICE bans eventually kick in
And of course, the kings of the Arctic Circle, Volvo, who were once the torchbearer of electrification, dropped their pure-EV-by-2030 pledge after admitting failure. It now projects that 90–100% of 2030 sales will be electrified (BEV or plug-in hybrid), leaving ~10% as mild hybrids. The company pointed to charging shortcomings, waning incentives, and consumer concerns as key reasons.
So why have so many manufacturers stopped their EV-only plans? Well, in the cold light of dawn, the infrastructure is just not up to it. Charging networks remain patchy, and consumers still fear range issues, especially outside urban centres.
Consumers, the ultimate test of product desire, don’t want them. Given the choice, they will gravitate toward hybrids: cheaper upfront, familiar, and flexible. Even premium buyers aren’t fully switching yet.
There has been a gradual withdrawal of subsidies, and of course, the tariffs on Chinese EVs, coupled with not enough batteries to go around, have chipped away at profit margins. This is not about backtracking; this is about owning up to a mistake in the face of complex realities.
Consumers are not quite convinced, infrastructure isn’t ready, and investors will not settle for razor-thin profit margins. So, these automakers are choosing to build a hybrid bridge rather than leap across a chasm.
Some like to call this a pivot; I call it a full-fledged U-Turn, a rout. Even the most electric-enthused legacy brands now recognise the value of balance. The future isn’t just electric; it’s adaptable, realistic, and consumer-conscious, and, hopefully, contains many more V8S.
