Core Insights - Mercedes-Benz India reported a 10% year-on-year increase in retail sales for the April to June period, reaching a record high of 4,238 units [1] - The demand for high-end models such as the S-Class, Maybach, and AMG series drove a 20% increase in luxury car sales [1] - Sales of electric vehicles surged by 157%, currently accounting for 8% of the company's total sales [1]

Core Insights - The automotive recall report for the first half of 2025 reveals a significant increase in recalls, with 60 recalls affecting 5.0688 million vehicles, an increase of over one million vehicles compared to the same period last year [1][2] Group 1: Recall Statistics - In the first half of 2025, there were 60 automotive recalls, which is nearly 10 fewer than the same period last year, but the total number of recalled vehicles has increased significantly from approximately 4 million to over 5 million [2] - Tesla accounted for a substantial portion of the recalls, with 120.68 thousand vehicles recalled, representing nearly one-fourth of the total recalls [3] - Mercedes-Benz was the most frequently recalled brand, with 12 recalls totaling 144,967 vehicles in the first half of the year [3] Group 2: Market Trends - The domestic automotive market is undergoing a transformation, facing challenges such as intensified price competition and the need for improved product quality to attract consumers [2] - The recall data indicates a shift in focus from price competition to enhancing product quality, performance, and brand strength [2][4] Group 3: Import Vehicle Issues - Imported vehicles have seen a notable decline in sales, with a 16.7% drop in the first four months of the year, attributed to quality issues and increased competition from domestic manufacturers [5] - Over 50% of recalls in the first half of the year involved imported vehicles, highlighting quality concerns across various global brands [5] Group 4: Quality Improvement Initiatives - The automotive industry is urged to enhance manufacturing quality and address production issues to improve brand image and consumer trust [7] - The Ministry of Industry and Information Technology has initiated inspections to ensure compliance with production standards and address safety concerns in the automotive sector [8]

梅赛德斯-奔驰：客户对梅赛德斯-奔驰汽车的基本需求，特别是在美国和德国，仍然强劲。尽管关税影 响了第二季度的全球销售，但在美国和德国仍看到良好的客户需求。 ...

梅赛德斯-奔驰：批发交付受动态市场影响，包括关税政策和车型转换。 ...

梅赛德斯-奔驰：第二季度汽车和货车销量同比下降9%。汽车和货车交付量降至54.71万辆。纯电动汽车 销量为41900辆，降幅为18%。客户对梅赛德斯-奔驰汽车的基本需求，特别是在美国和德国，仍然强 劲。尽管关税影响了第二季度的全球销售，但在美国和德国仍看到良好的客户需求。(新浪财经) ...

梅赛德斯-奔驰：第二季度汽车和货车销量同比下降9%。汽车和货车交付量降至547,100辆。纯电动汽车 销量为41,900辆，降幅为18%。 ...

Core Viewpoint - Fitch plans to withdraw its rating on Mercedes-Benz Group [1] Group 1 - Fitch's decision indicates potential changes in the creditworthiness assessment of the company [1]

Core Viewpoint - Mercedes-Benz is facing a series of technical and trust crises in the Chinese market, highlighted by widespread failures of in-car navigation and CarPlay functions, followed by a recall of 16,100 vehicles due to safety concerns, indicating a significant delay in the company's smart transformation efforts [1][2][3] Group 1: Technical Failures - On June 12, numerous Mercedes-Benz owners reported a sudden failure of in-car navigation and CarPlay functions, with the central screen going black and displaying error messages [2] - Mercedes-Benz acknowledged the issue was due to a backend failure and attempted to rectify it, but many users continued to experience problems, leading to dissatisfaction with the company's response [2][3] - Following the technical failures, the State Administration for Market Regulation issued three recall notices affecting 16,100 vehicles, further damaging the brand's reputation in China [2][3] Group 2: Recall Details - The recalls included 252 domestic C-Class and GLC SUVs due to incorrect fuse boxes that could lead to loss of power and airbag failure, posing a fire risk [3] - Additionally, 13,447 domestic EQC vehicles were recalled due to software defects in the battery management system that could cause thermal runaway in extreme conditions [3] - 2,151 imported A-Class, CLA-Class, and GLA-Class vehicles were recalled for non-compliant turbocharger nozzles, which posed emission risks [3] Group 3: Strategic Challenges - The series of technical incidents reflects a systemic lag in Mercedes-Benz's smart transformation, with the company struggling to implement its self-developed MB.OS operating system and collaborate effectively with local tech firms [1][3] - Despite plans to invest over 14 billion yuan in R&D in China, the company's progress in smart technology has been minimal compared to competitors like Volkswagen and Audi, who have made significant advancements [3][4] - Mercedes-Benz's electric vehicle sales in China dropped 23% in 2024, with overall sales declining by 7% to 683,600 units, indicating challenges in adapting to the "software-defined vehicle" era [1][4] Group 4: Financial Performance - In 2024, Mercedes-Benz's global sales fell by 3% to 1.983 million units, with revenue decreasing by 8.5% [4] - The company announced a shift in strategy, abandoning its 2030 full electrification plan and restarting the development of fuel vehicles to recover profits [4] - To address ongoing challenges, Mercedes-Benz initiated the "Next Level Performance" cost-saving plan, aiming to reduce costs by 5 billion euros by 2027 [4][5] Group 5: Industry Perspective - Industry experts suggest that Mercedes-Benz urgently needs to restructure its technology R&D system and improve user response mechanisms to remain competitive in the smart vehicle market [5] - The company's failure to address basic issues, such as OTA upgrades and battery management, has resulted in significant customer dissatisfaction, particularly during widespread technical failures [5]

Core Viewpoint - The electric luxury vehicle market is facing significant challenges, with major brands like Mercedes, Ferrari, and Porsche experiencing disappointing sales and production cuts despite a general increase in global electric vehicle sales [4][5][6][7]. Group 1: Sales Performance - Mercedes' electric G-Class SUV has seen poor sales, with only 1,450 units sold in Europe by April, compared to 9,700 units of the gasoline version [11]. - Ferrari has delayed the launch of its second electric vehicle to at least 2028 due to weak demand [5]. - Porsche has reduced production plans for its electric models, including the Taycan, which has seen a 49% drop in sales [20]. Group 2: Market Dynamics - The global electric vehicle market is booming, with a projected 20 million units sold by 2025, accounting for over 25% of total vehicle sales [18]. - The International Energy Agency (IEA) forecasts that by 2030, electric vehicles will make up over 40% of the market, driven by smaller and more affordable models [19]. - China dominates global electric vehicle production, accounting for over 70% of output, and has exported nearly 1.25 million electric vehicles [19]. Group 3: Consumer Preferences - Consumers are gravitating towards lower-priced gasoline models rather than expensive electric versions, as seen with the G-Class where buyers prefer the gasoline variant for its better value [14][21]. - The electric G-Class has a significantly lower range (239 miles) compared to its gasoline counterpart (500 miles), which is a critical factor for consumers [15]. - The trend indicates a shift away from high-end electric vehicles towards more affordable entry-level models, as traditional luxury strategies are becoming less effective [21][23]. Group 4: Strategic Shifts - Luxury brands are reassessing their electric vehicle strategies, with companies like Bentley and Lamborghini delaying electric vehicle launches and extending the timeline for phasing out gasoline engines [20]. - The automotive industry is encouraged to adopt a strategy similar to Ford's Model T, focusing on affordable, mass-produced electric vehicles rather than high-end models [23].

Core Viewpoint - The luxury car market faces three main challenges: cautious consumer purchasing decisions, the choice between gasoline and electric vehicles, and the balance between safety and intelligence in product offerings. Mercedes-Benz's long-wheelbase E-Class addresses these challenges by providing a luxury travel experience that meets consumer demands for uncompromising quality [1][5]. Group 1: Safety Innovations - Mercedes-Benz has evolved its safety philosophy from a focus on passive safety to proactive care, exemplified by the long-wheelbase E-Class, which features a steel-aluminum hybrid body with over 77% high-strength steel, including 20% ultra-high-strength steel, and 13 safety airbags as standard [2][3]. - The vehicle underwent over 50 crash tests tailored to long-wheelbase and Chinese road conditions, achieving high internal standards, and introduced high-speed ray technology for real-time visualization of crash dynamics [2][3]. Group 2: Preventive Safety Systems - The long-wheelbase E-Class includes the Pre-Safe® system, which activates side airbags in milliseconds to protect occupants during a side collision, and features auditory protection to mitigate hearing damage from collisions [3]. - The vehicle integrates advanced technology, including the Qualcomm 8295 smart cockpit chip and 5G communication, along with the third-generation MBUX system for seamless interaction [3]. Group 3: Redefining Luxury Value - Mercedes-Benz emphasizes a "long-termism" philosophy, focusing on technology, service, and responsibility to redefine luxury value, with the long-wheelbase E-Class achieving the highest resale value in its category according to a report [5][6]. - The vehicle's design merges technology and aesthetics, featuring a 14.4-inch central display and a spacious interior with luxury amenities tailored for the Chinese market, enhancing the overall luxury experience [6]. Group 4: Market Positioning - While competitors focus on either configuration or pricing, Mercedes-Benz has elevated its value proposition, embodying the essence of a luxury brand that leads rather than follows market trends [7].