Mercedes to offer first look at new compact car line-up in 2023

STUTTGART: Mercedes-Benz is expected to focus on compact models that are successful globally and will cut the number of models in this segment to reduce complexity.

At the end of the day, it's all about making as much money as possible. The German automaker aims to allocate over 70% of future investments on bigger models - from the C-Class and up - as they earned better profits for the company.

While Mercedes-Benz said it is still committed to making smaller models, it told Automotive News Europe: "We will focus on the models that we believe are the most successful on a worldwide basis. We might later this year even tease what that future would look like."

It's believed that Mercedes-Benz would retain the CLA, CLA Shooting Brake, GLA, and GLB, while the A-Class hatchback, A-Class sedan, and the B-Class MPV would be retired.

Last year, Mercedes had teased a small sedan that looked like the CLA. Based on the new Mercedes Modular Architecture (MMA), it would be produced at the company's Hungarian plant from 2024.

MMA would underpin the "Entry Luxury" class under the Mercedes hierarchy, meaning all the compact models would use the bespoke EV platform.

As with all things new and laden with tech innovations, customers will have to pay more.

"The vehicles of our entry-luxury MMA platform will be based on the MB.OS software architecture for the first time in 2024. They will feature many innovations that stem from the tech program behind the Vision EQXX," Mercedes chief technology officer Markus Schafer once said in rationalising the price jump.