Shirine Emirah, Managing Director of Mercedes-Benz Korea, introduces the new vehicle at the ‘The All-New Electric CLA & GLC Korean Premiere’ held at the Benz Studio in Seongsu-dong, Seoul, on the 19th.
Mercedes-Benz has thrown down the gauntlet once again in the South Korean electric vehicle market, armed with Mercedes-Benz CLA EV models boasting ‘domestic car-level price competitiveness.’ With Mercedes having slipped to third place in South Korea’s imported car sales and facing the lingering task of rebuilding consumer trust following 2024 EV fires, all eyes are on whether these new electric models can flip the market dynamics.
On the 19th, Mercedes-Benz Korea hosted ‘The All-New Electric CLA & GLC Korean Premiere’ at the Benz Studio in Seongdong-gu, Seoul, unveiling the electric compact sedan CLA in seven trims and the electric mid-sized SUV GLC in two trims for the first time in South Korea. Managing Director Shirine Emirah stated, “The new CLA and GLC are core models that concentrate next-generation electrification technology into Mercedes’ heritage, setting a new standard for the premium EV market.”
The CLA is the first model to apply Mercedes’ next-generation Modular Architecture (MMA), while the GLC adopts the mid-segment dedicated EV architecture (MB.EA). They also feature the in-house developed vehicle operating system ‘MB.OS’, an artificial intelligence (AI) virtual assistant supporting contextual conversations and voice-based vehicle controls, and ‘MB Drive Assist’, an advanced driver assistance system based on cameras, radar, and ultrasonic sensors.
The most striking aspect is the pricing. The CLA broadens battery options to enhance price competitiveness. Mercedes simultaneously introduced the ‘CLA 200’ equipped with relatively affordable lithium-iron-phosphate (LFP) batteries and the ‘CLA 250+’ adopting nickel-cobalt-manganese (NCM) batteries. The lowest trim, the ‘CLA 200 Electric Essential,’ starts at 52.9 million won. It is evaluated as competitive even when compared to equivalent domestic electric vehicles priced in the 50 million won range. The GLC starts at 90 million won.
Navigating the fiercely competitive imported EV market remains a hurdle. According to the Korea Automobile Importers & Distributors Association (KAIDA), Tesla ranked first in imported car sales from January to September with 19,148 units sold. BMW sold 63,995 units, and Mercedes sold 43,249 units. China’s BYD is also closing in fast with 20,137 units sold. Notably, most of the vehicles sold by Tesla and BYD are electric, whereas Mercedes and BMW still carry a relatively high proportion of internal combustion engines and hybrids.
Mercedes’ EV sales grew from 608 units in 2021 to 9,184 units in 2023, but have failed to recover following the 2024 fire incident, dropping to 4,500 units in 2024 and 2,118 units last year.
Lee Sang-guk, Vice President of Mercedes-Benz Korea, said, “Regaining market trust is a crucial aspect. Based on Mercedes’ 140-year heritage, we will respond aggressively to stay ahead in the EV market,” adding, “We plan to continue introducing electric vehicles and strive to become a brand loved by many customers.”
