Mercedes Cuts S-Class Production Because of Lower Sales

An automotive luxury icon, the S-Class is experiencing challenging times as a result of dwindling sales. In the first quarter, deliveries plummeted by nearly 37% to only 16,900 cars, including the AMG and Maybach derivatives. The German premium brand has not released S-Class sales details for the second quarter. However, combined deliveries of the S-Class, EQS, EQS SUV, and GLS dropped by almost 23% to 33,400 cars.

With that in mind, it comes as no surprise that Mercedes has now confirmed rumors about cutting production of its range-topper. In an interview with Automobilwoche, a company spokesperson announced the S-Class will be manufactured in a single shift at the Factory 56 in Sindelfingen. According to the publication, the assembly plant has been underutilized for months because of a sharp decline in sales.

Automobilwoche cites a supplier of interior components saying that scaling down production of the S-Class is a "catastrophe." The change to a single-shift operation at the facility in Sindelfingen will come into effect following the August vacation. The Mercedes representative says some of the workers will be given other production-related tasks at the plant where the fully electric EQS is also manufactured.

Looking at its main domestic rivals, which also bundle sales of their flagship cars with other models, BMW was up while Audi was down in the first half of 2024. Demand for the 7 Series and 8 Series increased by 11.4% to 30,249 cars through June. Audi's D-segment cars suffered a 16.5% loss to 8,487 cars. Production of these large Audi models fell by a whopping 46% to just 5,788 cars between January and June.

Mercedes is working on a mid-cycle update for the S-Class. At the end of June, CEO Ola Källenius declared the company is spending "a lot more" than it usually invests in a facelifted model. The company has relaxed its overly ambitious EV goals by deciding to pour more money into combustion engines. Of the three German large sedans, the S-Class is the only one to still offer a twelve-cylinder engine, but it's only available in the posh Maybach variant.

Lest we forget that up until a few years ago, there were also S-Class Coupe and S-Class Convertible models. Both were axed from the lineup and indirectly replaced by the new 2+2 GT Coupe and SL duo.