The automotive giant reported that its global car and van volume slipped 6% to 491,700 units for the quarter. While China remains the company’s largest market, intense competition and difficult passenger car conditions undermined results. To counter the trend, management is leaning on the GLC and E-Class, which currently account for nearly two-thirds of local sales. New locally produced models, including the electric GLC L and the GLE L SUV, are intended to stabilize the company’s position in the region.

Contrasting the weakness in Asia, North American and European operations provided a buffer. U.S. sales climbed 6% following a refresh of the SUV lineup, including the GLE and GLS models. European demand rose 5%, bolstered by consistent momentum across Germany and the U.K. Mathias Geisen, head of sales, confirmed that electric vehicle deliveries surged 61% to 68,400 units, marking a company record. To handle the backlog for models like the electric GLC, plants in Bremen, Rastatt, and Kecskemet have shifted to three-shift production cycles.