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Mercedes-Benz India’s 2025 Story Isn’t About Volumes — It’s About Where Luxury Is Headed

Posted on 15-01-2026 by Nilesh Sawant

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Brands: Mercedes Benz
Category: Industry News

2025 has quietly become Mercedes-Benz India’s strongest year yet in terms of revenue, and that doesn’t happen by accident. Over the last few years, the brand has been methodically reshaping its portfolio, moving away from chasing entry-level volumes and instead doubling down on high-value, high-margin products. This year, that strategy came into sharp focus.


If you look at Mercedes-Benz India’s 2025 numbers purely through a volume lens, you might miss the real story altogether. Yes, the brand delivered just over nineteen thousand cars this calendar year, a shade lower than 2024. But focusing only on that number would be like judging a luxury watch by how loudly it ticks. The real headline for Mercedes-Benz in India this year is not how many cars it sold — it’s which cars it sold, and what that says about where the luxury market is headed.

2025 has quietly become Mercedes-Benz India’s strongest year yet in terms of revenue, and that doesn’t happen by accident. Over the last few years, the brand has been methodically reshaping its portfolio, moving away from chasing entry-level volumes and instead doubling down on high-value, high-margin products. This year, that strategy came into sharp focus.

The most telling indicator lies at the very top of the range. Models like the S-Class, the Mercedes-Maybach lineup and the ever-expanding AMG portfolio together accounted for roughly a quarter of Mercedes-Benz India’s total sales. In a market where premium buyers are increasingly spoilt for choice, that top-end segment still managed to grow year-on-year. It’s a clear sign that India’s luxury car buyer is becoming more confident, more discerning, and far less price-driven than before.

Nowhere is that shift more evident than in Mercedes-AMG’s performance. What was once considered a niche indulgence has now become a legitimate growth engine for the brand. AMG sales grew sharply in 2025, reflecting a growing appetite for cars that prioritise emotion just as much as comfort. The continued popularity of models like the AMG G63 says a lot about how Indian buyers now view performance — not as a weekend-only thrill, but as part of everyday luxury.

Electric vehicles, too, played a far bigger role in Mercedes-Benz India’s 2025 story than many might expect. The brand’s EV portfolio continued its upward trajectory, and what’s striking is where that growth is coming from. A significant majority of Mercedes-Benz electric vehicles sold in India this year were from the top end of the spectrum, priced well north of the one-crore mark. The EQS SUV, in particular, emerged as the brand’s best-selling luxury EV, reinforcing the idea that range, refinement and brand confidence matter far more than sticker price when it comes to premium electric adoption.

Interestingly, this EV growth hasn’t come at the cost of Mercedes-Benz’s traditional strengths. Sedans continue to hold their ground, especially the Long Wheelbase E-Class, which once again proved why it remains the default luxury sedan for Indian buyers. The continued demand for the C-Class, S-Class and Mercedes-Maybach S-Class shows that, despite the SUV wave, the classic three-box luxury car still has a very loyal following.

SUVs, of course, remain a cornerstone of the brand’s success. From the relatively accessible GLA to the opulent Mercedes-Maybach GLS, the SUV lineup delivered consistent volumes across segments. The AMG G63, in particular, continues to enjoy cult-like status, blurring the line between lifestyle statement and performance icon.

One area where Mercedes-Benz deliberately pulled back in 2025 was entry luxury. Sales in this segment declined, reducing its contribution to overall volumes. But this appears less like a concern and more like a conscious decision. Mercedes-Benz has been clear about not diluting product substance or entering price wars, even if that means walking away from short-term volume gains. In a market that’s often obsessed with numbers, this restraint is refreshing — and increasingly rare.

Taken together, Mercedes-Benz India’s 2025 performance feels less like a sales report and more like a roadmap. The brand is aligning itself with a customer who values technology, performance and brand experience over discounts and badge access. With strong momentum in top-end luxury, a rapidly maturing electric portfolio, and AMG carving out a bigger role than ever before, Mercedes-Benz appears comfortable with where it stands — and confident about where it’s going next.

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