Mercedes-Benz China has recently lowered the prices of some of its car models, with the adjustment affecting multiple models and amounting to around a 10% decrease. This news quickly became a hot topic on February 3rd.
On February 2nd, the China Council for the Promotion of International Trade Automobile Distributors Association issued a statement regarding the adjustment of suggested retail prices for certain Mercedes-Benz models. The statement urged all manufacturers to clear up any unreasonable business policies. It was mentioned that Mercedes-Benz had adjusted the suggested retail prices for certain car models on February 1st, with the adjustment being around 10%.
According to reports from several Chinese media outlets on February 2nd, the models that saw a price reduction mainly included the Mercedes-Benz C-Class, GL C, and GL B models, with the price decrease ranging from 33,700 to 69,000 yuan.
Some analysts believe that Mercedes-Benz’s price reduction this time is a strategic adjustment to combat the price war in the luxury car market and the impact of new energy vehicles, aiming to enhance the competitiveness of their main selling models.
On the other hand, a report by ThePaper.cn on February 2nd suggested that the primary reason behind Mercedes-Benz’s official price adjustment was to alleviate the survival pressure faced by dealerships. By decreasing the suggested price, dealerships can reduce the capital occupied for vehicle procurement, release liquidity, and mitigate the risk of inventory devaluation. This move is also expected to accelerate inventory turnover and alleviate the operational pressure stemming from high stock levels and inverted pricing.
Prior to this, BMW China also significantly lowered the prices of BMW vehicles in China.
On January 1, 2026, BMW China announced a “Systematic Value Upgrade,” lowering the official prices of 31 flagship models. For instance, the flagship all-electric model i7 M70L saw a price reduction of 301,000 yuan, dropping from 1.899 million to 1.598 million yuan. The domestically produced M235L broke the 300,000 yuan barrier for the first time, with the 2 Series four-door coupe dropping to 208,800 yuan, setting a new price low for BMW models produced in the mainland.
BMW’s price adjustments this time cover a wide range of vehicles, including sedans, SUVs, electric cars, and more than 30 models, from flagships to entry-level models, with price reductions generally exceeding 10%.
Public records show that in 2025, Mercedes-Benz delivered a total of 575,000 new vehicles in the Chinese market, including passenger cars and light commercial vehicles, representing a decrease of approximately 19% compared to 714,000 vehicles in 2024. This decline is significant compared to the peak of 774,000 vehicles in 2020.