Mercedes-Benz is betting on India’s expanding luxury car market and growing demand for premium electric vehicles as it looks to strengthen its presence in the country.
The German automaker sees significant room to scale up its business over the next five to seven years and expects India to deliver a record year, according to company executives.
The company’s latest electric , the GLC EV, has received more than 1,000 bookings, taking its order book through March 2027, the Financial Express reported.
The strong initial response has prompted Mercedes-Benz India to approach its global leadership for additional assembly kits to ramp up local production and reduce waiting periods, the report said.
The India push comes amid a challenging global environment for the luxury carmaker, which is planning to introduce 12 new models in the country in 2026.
The GLC EV, priced at an introductory ₹78.5 lakh (ex-showroom), is locally assembled at Mercedes-Benz India’s Pune facility. Deliveries to the first set of customers are expected to begin shortly, according to the Financial Express report.
“We have got 1,000-plus bookings of this now,” Santosh Iyer, managing director and chief executive officer of Mercedes-Benz India, said at the vehicle’s launch in Pune, as per the Financial Express report.
Iyer said the company was in discussions with its global leadership to secure additional assembly kits and increase production in India.
“I think this is going to be a record year, and there is no doubt that India has more potential for us,” Mercedes-Benz Group Chairman Ola Källenius told CNBC-TV18.
The company sold more than 5,400 vehicles in India in the third quarter of 2026, marking its best-ever quarterly performance in the country, Källenius said.
He added that stronger-than-expected pre-orders for the electric GLC had reinforced the company’s confidence in the market.
Mercedes-Benz is pursuing what Källenius described as the biggest product launch offensive in its history, with 12 new models planned for India this year.
The strategy is aimed at tapping demand across the luxury vehicle segment, including. The company expects India’s growing premium vehicle market to offer opportunities for expansion over the coming years.
The automaker is also looking to increase the number of models assembled at its Pune manufacturing facility and scale up production in line with demand.
Mercedes-Benz’s expansion plans in India come as the company faces pressure in other key markets, particularly China, where demand for luxury goods and vehicles has weakened.
The company’s revenue reportedly fell 9% last year, while adjusted operating profit declined 15% in the third quarter. It has also lowered its full-year outlook.
said had recorded growth outside China in each of the first three quarters of 2026, supported by new products. In China, the company is adapting its offerings to local consumer preferences and expanding research and development activity rather than scaling back its presence.
Mercedes-Benz’s India strategy extends beyond vehicle sales to manufacturing, research and development, and partnerships with local suppliers and technology companies.
The company has invested more than ₹3,000 crore in India, Källenius said in his interview with CNBC-TV18.
It plans to add more models to its Pune facility and expand local production as demand grows.
While its current vehicle assembly operations are focused on the Indian market, Mercedes-Benz is also working with Indian suppliers and technology partners on its global operations.
