New confirmation that the small cars are still being considered for sale comes today via Auto Motor & Sport, speaking with Stephen Cannon, vice president of marketing at Mercedes' U.S. offices. No final decision for the U.S. has yet been made, however.
Executives previously reversed a decision to bring the current B-Class Stateside because of fears it would damage the luxury brand’s exclusivity and the low dollar exchange rate would make it too expensive - simply put, the mid-cycle inclusion of the current B-Class doesn't make business sense.
However, unexpectedly strong sales of the Smart fortwo minicar are prompting renewed interest in selling the A-Class and B-Class Stateside, but two major hindrances remaining to the decision include exchange rates and pricing, though the company hopes the next-generation car will be able to overcome these with lower costs.
Because the A-Class and B-Class would have to be imported to the U.S., the weak status of the dollar in relation to the euro make for difficult cost-recovery even on low-cost cars, however, and pricing within the realm of acceptable small-car ranges - even at the premium end of the spectrum - is likewise tough, thanks to the generally low prices in the U.S.
Mercedes’ U.S. CEO, Ernst Lieb, is still unsure how well a Mercedes branded car positioned below the C-class would sell in America. "Today when I talk to customers, I really wonder if they are ready for a small car," he said, but he knows that younger customers who’ve driven the B-class and the smaller A-class in Europe are “open to it”.
The next-generation of A and B-Class models will be based on a less expensive platform than the current model and will be sourced from a new low-cost plant in Kecskemet, Hungary around 2011.
In addition to the regular hatch models, a new crossover is expected, as are coupe and cabrio versions designed to compete with BMW’s 1-series range and upcoming X1 crossover. An electric variant is also expected, according to some reports, and the whole range could be replaced by a new family of compacts as well.
Reader Comments
Mon Jul 28 2008 6:00 PM
James says
To bring in the A- and B-Class to America will only destroy whatever image Mercedes-Benz has left of being "engineered like no other car in the world". Most people in America don't know that Mercs are used as taxis and other forms of 'pedestrian' transportation. When they find out that M-B builds econoboxes, no matter how good, the mental image of the company will be forever altered.
Already, locally, the M-B dealer has a radio ad aimed at Honda customers: "for the price of a loaded Accord you could get a C-Class..." Never mind that the loaded Accord is brimming with more features than a stripped-down C-Class or that it performs better, gets better MPG, and is likely to be far more reliable. I wonder if the M-B dealer understands how he's undermining his own brand?
Back in more noble times, one was supposed to "rise" up to the financial challenges of acquiring a Mercedes... now, the company is "lowering the standards"... a damn shame.
Mon Jul 28 2008 8:43 PM
NoNameDenton says
That is not very true, it makes sense since BMW brought the 1 series here. Anyways I hope they bring those excellent 4 cylinder diesels here and turbo small engines, should be good entry level luxury cars.
Mon Jul 28 2008 9:37 PM
VWInformant says
I'm interested to see how well the smaller merc's do in the states. I think that consumers are definitely shifting toward the smaller cars, but it's always difficult to gauge how accepting they'll be of new entrants into the field.
---
Working with VW to spread the word about the new Tiguan. If you have any questions, feel free to let me know.
Mon Jul 28 2008 9:51 PM
HECTOR says
James has it spot on. BMW brought the 1 series to America and as far as I'm concerned they've done nothing but deeply hurt their own image.
I laugh at anyone I see behind the wheel of a 1 series (and even in sunny Miami I've seen only two examples) and I will certainly laugh at whoever I see driving the small MBs. They're brand snobs who could have better cars for far less money and still they buy based on the badge.
And sorry but I would rather ride a bike with no seat than buy a Tiguan. I used to love VW. Now their cars are overly expensive, unreliable and with the Tiguan fully in the realm of saying WTF? when you see one.
Mon Jul 28 2008 10:59 PM
NoNameDenton says
Well good for you Hector, but some people do not like how much weight the 3 series has, not to mention the price increases, bringing the 1 series here was a smart move in theory (not so much when the price overlaps with the 3 series). You may not like the 1 series but other people do and people in other countries get the great hatchback (which might come here entually). With Americans switching to smaller more fuel efficient vehicles this is a smart move.
Tue Jul 29 2008 11:19 PM
Guber says
4 years from now, the 1 serie will be expensive and overweight too. Then what? 1/2 serie? What not lighten the 3 now and keep it somewhat "affordable". If BMW most prestigous icon "3" continues its march north of 50-60 thousand, making it unattainable to most, wouldn't hurt its sales? I love BMW, the 1 is a performance monster but...definitely a chicks car.
VW Tiguan................ don't make me laugh.
Mon Nov 24 2008 4:14 PM
NoNameDenton says
The 1 series is not a "chick car", that is an ignorant comment. Anyways I am glad these might come here
Leave a Comment
Login or register to leave comments.
Please keep your comments on topic. Your involvement is governed by our Privacy Policy and Terms.