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Mercedes-Benz Pauses U.S. EQS and EQE Orders and Deliveries

A price cut of 4 to 16 percent for 2026 EQ models will accompany the redirection of Alabama manufacturing toward export markets.

Mercedes-Benz logo is seen in this illustration taken July 28, 2025. REUTERS/Dado Ruvic/Illustration/File Photo
Mercedes-Benz' electric cars are displayed outside the company's offices in Lisbon.
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Overview

  • The pause halts order banks and shipments for all EQS and EQE variants in the U.S., including both sedan and SUV configurations.
  • Mercedes-Benz cited weakening consumer demand and high dealership inventories as reasons for suspending its U.S. EQ operations.
  • President Trump’s July spending bill eliminated the $7,500 federal EV tax credit earlier than planned and dampened buyer incentives.
  • The company will lower base prices on EQS and EQE sedans and SUVs by between 4 percent and 16 percent starting with the 2026 model year.
  • Production at Mercedes-Benz’s Tuscaloosa, Alabama plant will focus on export shipments and CEO Ola Källenius forecasts gradual growth in U.S. BEV adoption.