Mercedes-Benz India has reported its strongest-ever fiscal performance, retailing 19,363 units in FY 2025–26. This not only marks a steady year-on-year increase but also positions the brand as the number one luxury car manufacturer in India for the fiscal year.
The momentum continued into the first quarter of 2026, with sales reaching 5,131 units, reflecting a 7% growth compared to the same period last year. This performance also places Mercedes-Benz at the top of the luxury car market in Q1 2026, ahead of BMW, which recorded sales of 4,567 units during the same period. The sustained growth highlights consistent demand across both new launches and established products, alongside the company’s focus on enhancing customer experience and retail network quality.
A key driver of this growth has been the increasing preference for high-end luxury vehicles. Models across the S-Class, Maybach, EQS SUV and AMG range have witnessed strong traction, with waiting periods for select models, including the AMG G63 and Maybach S-Class, extending up to 12 months. The Top-End segment grew by 16% in FY 2025–26 and contributed 27% to overall sales, while also recording a notable 25% growth in Q1 2026, underlining a continued shift towards premiumisation within the luxury car market.
At the same time, the Core segment—which includes the C-Class, E-Class Long Wheelbase, GLC and GLE—remains a significant contributor to overall volumes. The Long Wheelbase E-Class continues to hold its position as the highest-selling luxury sedan in India, driven by sustained customer demand across markets.
In contrast, the Entry Luxury segment saw a decline of 18% during FY 2025–26. This trend reflects a broader market shift towards price-driven offerings, although Mercedes-Benz has maintained its strategy of focusing on higher-specification, value-oriented products rather than volume-led growth.
Electric mobility is also gaining traction within the brand’s portfolio. Battery Electric Vehicles (BEVs) now account for 20% of Top-End Luxury sales, with models priced above ₹1.4 crore witnessing an 85% growth. The EQS SUV has emerged as the highest-selling luxury BEV for the brand, indicating increasing acceptance of high-end electric vehicles among Indian buyers. The upcoming launch of the new electric CLA is expected to further strengthen this portfolio.
Expanding its performance lineup, Mercedes-Benz has introduced two new AMG models in India—the AMG A45 4MATIC ‘Aero Track Edition’ and the AMG GLE 53 4MATIC ‘Performance Edition’. Priced at ₹87 lakh and ₹1.52 crore (ex-showroom) respectively, these models are aimed at enthusiasts seeking a more performance-focused driving experience within the luxury segment.
On the network front, the company is continuing to expand its footprint under its ‘Go to Customer’ strategy. New facilities have already been inaugurated in cities such as Bengaluru, Bhopal and Raipur, with further expansion planned across emerging markets including Visakhapatnam, Varanasi and Goa. Over 20 new outlets are scheduled for 2026, supported by an investment of more than ₹450 crore from franchise partners.
