- On November 5th in Beijing, Mercedes-Benz officially launched the all-electric CLA 300 L.
- This China-specific model is built locally by Beijing Benz Automotive, a joint venture between Mercedes-Benz and China’s BAIC Motor.
- Mercedes is positioning this model as the compact luxury EV for China.
This guest editor article was written by Özgür Nurettin Püskül. Özgür is a trusted ADAS Advisor and one of Europe’s leading voices in sensor systems, perception software, and autonomous driving. His career spans Advanced Driver Assistance Systems (ADAS), LiDAR, camera and radar integration, autonomous driving solutions and other industry technologies.
The electric Mercedes-Benz CLA goes on sale in China at half the price of its European equivalent
There are a few differences between the Chinese specification CLA EV and its European equivalent. Pricing is between ¥249,000 – ¥285,600 (equivalent to €31k – €36k), making it nearly 50% cheaper than the European CLA EV, which starts from around €55,000. This China-specific ‘L’ version also has a 400 mm longer wheelbase, but is still on the same MMA platform and same drivetrain as Europe.
The launch was delayed due to software issues, originally planned for an April 2025 launch but eventually delivered in August.
On paper, it should win
With the following technology, this Mercedes should have been a clear winner on paper. It combines an advanced electric architecture with a localised software stack designed for China’s connected ecosystem.
The MB.OS combined with a Qualcomm Snapdragon creates a Smart Cockpit Chip (SoC), the same next-generation SoC used in flagship Chinese EVs, enabling 3D graphics, immersive navigation and AI-assisted voice interaction. Other specifications include Momenta Urban Navigate-on-Autopilot and ByteDance AI voice, an 800-volt architecture offering an 866km range on the CLTC cycle, 11 airbags, PreSafe 3.0, 2026 fire compliance, 2-speed gearbox, multi-zone voice control, and a 3D human-machine interface.
Clearly, the spec sheet is not the problem – but the perception is.
During the launch event, Fred Duan, President of Beijing Mercedes-Benz Sales & Service, said:
“You may have chosen other EV brands for a while, but when you choose CLA, you will be a distinguished Mercedes-Benz owner”.
However, what did the Chinese customers say? These are customer reactions from the Wangjing 4S store in Beijing, November 7th:
- “For this price, no seat ventilation and no massage? I won’t consider it.”
- “The smart cockpit isn’t good, XPENG, NIO, Li Auto are better.”
- “If I ever buy a Benz again, I’d prefer gasoline.”
- “I like the red CLA, but it looks bad with the green EV plate.”
This is not a price objection – this is a value mismatch. In 2025 China, brand prestige does not replace feature-value. A “Mercedes badge” is not a moat. A 50% discount is not a product strategy.
What sells in China is not the logo, it’s:
- Seat ventilation & massage at ¥200k
- AI cockpit + strong HMI
- OTA speed & app ecosystem
- Voice-first UX
- Instant gratification hardware bundles
Mercedes reduced the price, but not the cultural distance to the Chinese buyer.
A lesson for Europe
If Mercedes has to halve the price to stay relevant and still struggles to convert customers, the real question is not can Europe compete on cost, but rather: does Europe really know its future customer at all. The EV price war is not won by discounts – it’s won by listening, localising, iterating, and shipping.
