Why Mercedes paused EV orders US: Official Announcement and Context

Mercedes‑Benz confirmed in July 2025 that Mercedes Paused EV Orders in US temporarily. order banks for its EQ electric vehicles, including the EQS Sedan, EQS SUV, EQE Sedan, and EQE SUV, effective September 1  2025. Order banks were told to close, although vehicles already scheduled for production before that date would continue to be delivered.The automaker described the decision as a move to better align production with declining market demand, citing current market conditions as the primary reason

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Mercedes EV Orders Pause US: Market Demand Weakness and EV Sales Collapse

In Q2 2025, Mercedes‑Benz BEV (battery-electric vehicle) sales in the U.S. fell almost 25% year-on-year, dropping from 45,843 units in early 2024 to 35,027 units in the same period in 2025.Globally, BEV sales were already down 36% in Q2 2024, and Mercedes’ EV share shrank to 11.4% from 17.1% a year earlier InsideEVs. Inventory on dealer lots became excessive, prompting large discounts across EQ models before the pause.

EQ Sale Delay US 2025: Rising Inventories & Deep Discounts

Mercedes offered steep discounts on its EQ lineup in the U.S. to clear existing inventory. For example:

The EQE sedan dropped by ~$9,950, from ~$76,050 to ~$66,100.

The EQS SUV was discounted by up to ~$15,300.

These markdowns were necessary as vehicles remained unsold for 87–113 days on average, well above luxury EV norms

Why Mercedes paused EV orders US: Federal Tax Credit Expiry

The Mercedes paused EV coincides with the loss of the $7,500 federal EV tax credit at the end of September 2025. While most EQ models were priced above the $80,000 or $55,000 MSRP caps for eligibility (and thus ineligible for the credit), the incentive’s expiration accelerated the slowdown in EV demand across the luxury segment

EQ Sale Delay US 2025: Design, Loyalty and Consumer Sentiment

EQ models have faced criticism for their styling—nicknamed “jellybean” designs—and interiors that many buyers felt didn’t match the quality of the E-Class or S-Class . Consumer and dealer feedback indicated low desire for EQ models, citing lack of “aspirational” appeal compared to Mercedes’ ICE heritage models .

Why Mercedes paused EV orders US: Production Realignment and Portfolio Strategy

Mercedes maintains production flexibility across its global network. Its Tuscaloosa, Alabama plant will continue producing EQ SUVs for export, and German plants in Sindelfingen and Bremen will continue EQ sedan production for export markets Carscoops+6electrive.com+6AUTO Connected Car News+6. The pause applies only to U.S.-domestic orders. Mercedes is concurrently developing a new Modular Architecture (MMA) platform that underpins upcoming vehicles such as the electric CLA and GLC slated for U.S. launch in 2025–2026

EQ Sale Delay US 2025: Communicating Temporality and Future Outlook

Mercedes emphasized the pause is temporary and tied to market realignment, and declined to provide a timeline for when U.S. order banks would reopen, citing competitive reasons blog.getrentacar.com+5Reuters+5Carscoops+5. CEO Ola Källenius expressed confidence that U.S. EV demand will gradually recover over the medium to long term, even in the absence of tax credits.

Mercedes EV Orders Resume? What Comes Next:

• The EQB remains unaffected by the pause and will continue selling in the U.S. through model year 2025 GM Authority.
• Upcoming electric CLA sedan and electric GLC SUV on the MMA platform are still slated for U.S. release post-2025

Broader Implications and Global Context

While the pause affects only Mercedes’ U.S. EQ models, it signals larger trends:

• Luxury EVs in the $80K+ segment remain challenging to sell post-incentives.
• Brands like BMW and Lexus integrate EVs into their mainline series rather than separate sub-brands, which has proven more effective.
• Chinese competitors such as BYD and NIO are rapidly gaining ground on price, range, and volume, further pressuring traditional luxury brands

As Mercedes pivots to MMA-based EV models and invests in more consumer-friendly designs, analysts see this pause as a tactical recalibration—not a retreat.

Final Takeaway – Why Mercedes paused EV orders US and Delayed EQ Sale US 2025

Mercedes-Benz’s decision to pause U.S. EV orders for its EQ lineup reflects concrete market realities: slowing demand, rising inventory, the expiration of EV incentives, and product reception that fell short among U.S. luxury buyers. The company has opted to recalibrate its lineup by refocusing on plug‑in hybrids, repositioning EVs into mainstream naming architecture, and revamping design for broader appeal.

This pause does not signify the end of Mercedes’s U.S. EV ambitions, but it does mark a significant strategy shift in response to real-world economics and consumer behavior—an essential pivot in an evolving global EV market.

FAQs

Q1. Why did Mercedes-Benz pause EV orders in the United States in 2025?

Ans: Mercedes-Benz paused new EV orders in the U.S. due to a combination of inventory challenges, changing market demand, and internal reassessments of its EQ lineup strategy. The brand is realigning its product availability based on regional EV adoption rates and consumer preferences.

Q2. Which Mercedes EV models are affected by this sales pause or delay?

Ans: The pause affects several models in the EQ lineup, including the EQB, EQE, and EQS models in both SUV and sedan variants. Some of the upcoming EVs like the next-gen EQC and EQG are also seeing launch timeline shifts.

Q3. Is the EV pause a permanent move by Mercedes in the U.S. market?

Ans: No, the pause is temporary. Mercedes-Benz has clarified that it remains committed to EVs and the U.S. market, and this is a strategic move to recalibrate its product flow and inventory in alignment with consumer demand and dealer feedback.

Q4. Does this EV order pause mean Mercedes is shifting away from electric vehicles?

Ans: Not at all. Mercedes-Benz continues its long-term electrification goals. This pause is only a short-term tactical decision. Globally, Mercedes is still investing heavily in EV R&D and production.

Q5. What does this delay mean for U.S. consumers who planned to buy an EQ model in 2025?

Ans: Customers may face delays in receiving new EQ model deliveries. Some dealerships may also limit new reservations temporarily. However, existing bookings will be fulfilled depending on inventory and logistics availability.

Q6. Are there any incentives or discounts due to the EV sales pause?

Ans: As of now, Mercedes has not officially announced any price cuts or discounts. However, some dealerships might offer special deals on current in-stock models to clear inventory.

Q7. Is this delay related to the U.S. EV tax credit changes or regulations?

Ans: Partially, yes. Mercedes is reassessing its EV eligibility under the latest U.S. EV tax credit rules and supply chain sourcing requirements. These policies may influence production localization and component sourcing for future eligibility.

Q8. How does this pause impact the competition among luxury EV brands in the U.S.?

Ans: This gives competitors like Tesla, BMW, Lucid, and Audi a short-term edge. However, Mercedes plans to return with stronger offerings and more optimized models for U.S. buyers in the near future.

Q9. Is the EV pause only happening in the United States?

Ans: Currently, the pause and delays are specific to the U.S. market. In Europe and China, Mercedes continues to sell and expand its EQ lineup actively.

Q10. When will Mercedes resume EV orders in the U.S.?

Ans: While no specific date has been given, insiders suggest that the resumption could happen by late 2025 or early 2026, possibly aligned with the launch of updated or localized EV models.