Mercedes-Benz to Pause Deliveries of EQE, EQS EVs in U.S.
Mercedes-Benz has announced that its factory in Vance, Ala., will temporarily stop building the all-electric EQE and EQS sedans and SUVs for American customers as of Sept. 1, according to a report by Automotive News.
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The plant will not be idled, however. EVs destined for overseas will continue to be produced, as will the gas-powered GLS and GLE SUVs also manufactured at the facility; the models account for some 60% of the factory’s output.
Predictable Results
The news comes amid a tumultuous time for electric-vehicle sales in the U.S. The year started off strong, with the number of new EV models on sale in the first half of 2025 increasing 38% year over year and inventory of new EVs growing about 15% in that same timeframe, according to Cars.com data. EVs also sold faster than in the first half of 2024, with the average number of days live dropping 8.6% — likely due to automakers pushing incentives. However, with the $7,500 federal tax credit for EV purchases ending Sept. 30 and tariffs, that momentum will likely die down.
Automotive News reports that shipments of both the EQS and EQE SUVs have already fallen by about a third in the first half of 2025. Mercedes has also slashed prices on the vehicles, with the 2026 EQS SUV more than $15,000 cheaper than the 2025 model. The automaker said in February that its current plans for the future have more internal combustion engine vehicles in its portfolio than EVs.
Silver Lining for EV Adopters
Despite the slowdown, a Mercedes spokesperson says the upcoming CLA will still arrive at dealerships later this year, and that the GLC EV will be debuting at a September auto show in Munich, Germany. Mercedes CEO Ola Kaellenius said, “We don’t believe that the EV demand in the United States goes to zero. We still think that the medium to long-term adoption rate of [battery-electric vehicles] in the U.S. will creep upwards.”
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