Prompted by an initial surge in electric vehicle (EV) sales on the local front, Mercedes-Benz AG is setting its sights on Malaysia as a potential market that could fully embrace electric mobility by as early as 2030.
This localized EV sales boom has far outpaced the brand’s global EV sales proportion, as revealed in a recent Bloomberg report.
The electric vehicle market in Malaysia has exhibited a remarkable 200 per cent growth this year, a noteworthy achievement considering the relatively limited consumer base. In contrast, the worldwide growth rate of EV sales stands at around 120 per cent for the same period.
Motivated by the momentum in EV sales, Mercedes-Benz Malaysia is setting an ambitious goal of transitioning entirely to electric vehicles by 2030.
In the case of Mercedes-Benz, electric vehicles constitute approximately 11 per cent of its global sales; however, this figure surges to around 30 per cent in Malaysia, attributed to the availability of 5 distinct models and 7 variants.
Bettina Plangger, Vice President of Mercedes-Benz Malaysia (MBM), remarked in a recent interview, “There is a growing interest in electric vehicles, with new players entering the market and a significant demand emerging.”
“We hold a strong sense of optimism in achieving this milestone for Malaysia,” she further added.
Furthermore, Malaysia is actively advancing its efforts to develop an electric vehicle ecosystem, introducing incentives to boost adoption and striving to attain a target of 15 per cent electric and hybrid vehicle penetration in the overall industry volume by 2030.
Over the past year, two of the world’s leading EV manufacturers, Tesla and BYD, have entered the Malaysian EV landscape, intensifying competition within the mid-range EV segment. This intensified competition is a territory that Mercedes-Benz effectively avoids by virtue of its premium market positioning.
Plangger emphasized that Mercedes-Benz places a higher emphasis on the value it provides to customers as a luxury brand rather than solely focusing on pricing considerations.
The imminent switch of its sales model in Malaysia to an agency-based approach is also on the horizon for MBM.
Earlier this year, its key Malaysian retail partner, Hap Seng Star, disclosed an agreement with MBM to adopt an agency model. This strategic shift enables the carmaker to establish more direct interactions with customers and crucially, exercise tighter control over pricing structures.