Bullying Works! Mercedes-Benz Cuts 2026 EQ Prices and Halts U.S. Orders
Mercedes-Benz Makes Major Changes to Its EQ Electric Vehicle Lineup
Mercedes-Benz is making significant changes to its electric vehicle (EV) lineup for the 2026 model year. The company is reducing prices across its EQ models and pausing production of U.S.-bound versions of the EQS sedan and SUV, as well as the EQE sedan and SUV. This decision comes despite the fact that some of these models have only been on the market for a short time. The EQS sedan was introduced in the U.S. in 2022, while the EQS SUV, EQE sedan, and EQE SUV followed a year later.
A spokesperson for Mercedes-Benz confirmed that production of U.S.-spec versions of these models will be paused starting September 1, 2025. There is currently no timeline for when production might resume. However, vehicles scheduled for production before this date will still be delivered to customers.
Price Cuts Across the Board
The EQS SUV is experiencing the most significant price drop among the affected models. It has been reduced by $15,300, bringing the price down to $91,100, including destination charges. The EQE SUV is now priced at $66,100 after a $12,950 reduction, while the EQE sedan also sees a $9,950 cut, now costing $66,100. The EQS sedan has seen a smaller decrease of $4,150, with the new price at $101,140.
Production of all U.S.-spec EQS and EQE models will be paused, but production for other markets will continue. The EQS and EQE SUVs are built in Alabama, including for export to global markets, while the sedans are manufactured in Germany.
In a statement, Mercedes-Benz said, "As a company with global activities and more than 30 plants worldwide, including in Alabama and South Carolina, Mercedes-Benz continuously optimizes its production network and uses its high flexibility to react quickly to market conditions."
A Shift in Market Strategy
These changes come amid challenges for the EQ line, which initially generated high expectations when the Vision EQS concept car was unveiled in 2019. The production version of the EQS was met with mixed reactions, with many critics describing its design as "blobby," "egg-shaped," or "just plain ugly." Some even compared it to a bar of soap or a melting stick of butter. The EQS' interior, which featured a screen-heavy design with minimal physical buttons, also drew criticism from traditionalists who were not convinced by the shift in style.
This lack of appeal coincided with broader economic factors, including President Donald Trump's threats regarding tariffs and the Republican-led Senate’s efforts to eliminate federal EV tax credits, which had previously helped reduce the cost premium of electric vehicles.
Aerodynamics vs. Aesthetics
The design of Mercedes’ ground-up EVs is heavily influenced by the need for aerodynamic efficiency to maximize range. While each model achieves impressive drag coefficients, the resulting styling has been difficult to overlook, especially given the high price point of these vehicles. A quick search on AutoTrader shows several brand-new 2023 EQS and EQE models still available for sale, indicating their lack of popularity in the current market.
However, there is some good news for buyers interested in used EVs. Resale prices for these modern Mercedes-Benz models have dropped significantly, with some 2023 models listed for under $30,000. This makes them an attractive option for those looking for a deal on a high-end electric vehicle.