Mercedes' Most Ambitious G-Class In Years Isn't Going According To Plan

The potent specifications and tough-looking styling seemed like a recipe for success, at least on paper. However, a new report from Germany's Handelsblatt indicates the electric G-Class is a failure. Sales are so poor that Mercedes-Benz is rethinking its strategy for future versions of the SUV.

Mercedes has allegedly sold just 1,450 examples of the electric G-Class in Europe as of April 2025, according to the German report. Meanwhile, deliveries in China reportedly total a mere 58 units. For context to understand these dismal numbers, the automaker moved 10,987 units of the SUV just in the United States in 2024, which was up 12 percent over 2023.

"The car is sitting like lead at dealers; it's a complete flop."

– An anonymous Mercedes executive told Handelsblatt in a translated statement

CarBuzz reached out to Mercedes-Benz USA about the G580's sales performance. "The G580 with EQ Technology arrived at U.S. dealerships starting in Q4 of 2024. The U.S. continues to be one of the most important markets for the G-Class model range, including the all-electric G580. Please understand, we do not discuss sales by variant for any model series," Mercedes spokesperson Andrew Brudnicki told us.

Another exec speaking to Handelsblatt called the electric G-Class "a niche model" and admitted sales were "very low." However, the exact reasons behind the vehicle's lack of popularity aren't clear.

In the United States, the G580 starts at $161,500 (plus a $1,150 destination fee). The base G550 goes for $148,250, and the range-topping G 63 costs $186,100. The electric model has many luxurious standard features, including dual 12.3-inch displays for the instrument cluster and infotainment screen. An Off-road mode uses cameras to make the hood transparent for better visibility when off-roading. Occupants can enjoy the Burmester stereo with Dolby Atmos and speakers in the headliner. Three-zone climate control and temperature-controlled cupholders also keep people comfy.

However, it has a relatively limited range between charges of just 239 miles, according to EPA estimates.

Mercedes has been working on a smaller G-Class variant for several years, and the company's technical boss, Markus Schaefer, confirmed the project's existence at CES in 2024. The original plan was for it to be available exclusively as an EV. However, the G580's poor sales have allegedly changed the company's mind. Now, the company is considering whether to offer a combustion-engine-powered version, too, possibly with hybrid assistance. The vehicle reportedly rides on the same platform as the company's larger rear-wheel-drive models, suggesting that it could support ICE and EV configurations. Look for this vehicle to launch in 2026 or possibly 2027, based on the current product plan.

Mercedes' turmoil with the G580 is a microcosm of what's happening in the whole auto industry. Legacy automakers are finding challenges in the EV market. The technology is evolving quickly, making it hard for these companies to keep up. Cars take years to develop, but the electric vehicle market is changing even more rapidly. Automakers have the challenge of planning for new products without knowing how the industry might change in the near future.