Will Tariffs Kill Mercedes’ Cheapest Cars In America?
The GLA is rumored to be on the chopping block, although Mercedes denied the report
- Mercedes is reportedly considering dropping some entry-level models in the United States due to tariffs.
- A spokesperson for the company denied the report, which suggested the GLA could be on the chopping block.
- The GLA starts at $43,000 and could shoot up to $53,750 if the company passes on the tariff cost to consumers.
The United States is set to slap imported vehicles with a 25% tariff on April 2 and automakers are scrambling to respond. Some appear to be considering drastic changes including dropping some models altogether.
According to Bloomberg, Mercedes is considering eliminating some of their most affordable vehicles in America because they would become ‘economically unfeasible’ due to tariffs. A final decision hasn’t been made, but the GLA is said to be on the chopping block.
More: Mercedes Teases Next GLA, GLB, And CLA Shooting Brake
The crossover starts at $43,000 and is made in Rastatt, Germany. This means the price could increase to $53,750 when tariffs are factored in. It’s also worth noting that Mercedes has already teased the next-generation crossover and the current model isn’t a huge seller. In 2024, Americans only snapped up 19,079 units.
It remains unclear what other entry-level models could be on the chopping block, but it will be interesting to see if America will get the new CLA. The redesigned sedan was introduced earlier this month and will be offered with hybrid and electric powertrains. The latter offer up to 349 hp (260 kW / 354 PS) and 380 lb-ft (515 Nm) of torque as well as a WLTP range of up to 492 miles (792 km).
The GLB could also presumably be in trouble, but it’s made in Mexico and that could influence things depending on how tariffs are enacted. However, like the GLA, the current model is due for a redesign so an early death in America wouldn’t be the worst thing in the world.
Despite this, a Mercedes spokesperson denied the report in an e-mail to Reuters. In it, they said the Bloomberg story was “without any merit” as “Mercedes-Benz continues to seek sales growth for its highly desirable vehicles.”
While the future remains unclear, this wouldn’t be the first time Mercedes has dropped an entry-level vehicle in America. The 2022 model year was the last for the A-Class sedan, which sat at the bottom of the lineup but wasn’t a strong seller.
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