- The compact G-Class is more likely to be assembled in Hungary slightly than Germany.
- Mercedes is seeking to decrease manufacturing prices by constructing the off-roader in Kecskemet as a substitute of Rastatt.
- The Hungarian web site is predicted to change into the largest Mercedes manufacturing unit in Europe.
It’s been almost three years since Mercedes introduced plans to scale down the G-Class components for a extra compact and reasonably priced model. Following the teaser launched in September 2023 on the IAA present in Munich, the off-roader has acquired a large number of nicknames, together with Little G, Child G, and Junior G. Mercedes itself has been utilizing the lowercase “g” in “g-Class” to set it other than its greater brother, however with out specifying when the mannequin will hit the market.
All indicators level to a 2027 launch, and when the day comes, the little brother to the venerable Geländewagen may put on the Made in Hungary label. Automotive News Europe cites folks conversant in Mercedes who say the smaller G will likely be assembled on the Kecskemét web site. Whereas the corporate has by no means formally introduced the place the automobile could be constructed, many assumed it could come to life on the Rastatt manufacturing unit in Germany alongside the CLA.
It was a logical assumption, on condition that the g-Class is predicted to make use of the identical platform because the swoopy compact luxurious sedan and its extra sensible shooting-brake sibling. The alleged choice to construct the automobile on the firm’s plant in Hungary apparently stems from a need to chop prices. Mercedes has decrease working prices in Kecskemét than in Rastatt, and it’s trying to save cash by constructing the mini G in Hungary slightly than on its house turf.

Photograph by: Mercedes-Benz
Earlier than it might get monetary savings, the three-pointed star must spend some. It’s pouring €1 billion into increasing the Kecskemét factory to spice up annual capability to as much as 400,000 items, making it the biggest plant in its European manufacturing community. In line with the report, the Hungarian web site is projected to account for as a lot as 30 p.c of Mercedes’ total European manufacturing, double its present share. To get there, it’s hiring roughly 3,000 new staff, bringing the workforce to round 7,500.
In concept, constructing the g-Class (or no matter it’s known as) in Hungary as a substitute of Germany may make the automobile cheaper to purchase. In fact, that’s solely true if Mercedes decides to cross a number of the financial savings on to prospects. What is going to they get? Definitely not a automobile as succesful off the crushed path because the full-size G. Nonetheless, logic suggests it’ll be much better on tough roads than the equally sized GLB. The 2 won’t be as carefully associated as everybody thinks, on condition that Mercedes boss Ola Källenius as soon as mentioned the g is a “completely new development.”
The g-Class Will Have Fuel And Electrical Variations
No matter the place manufacturing takes place, the brand new arrival is predicted to be extra reasonably priced than initially believed. The plan was to construct the g completely as an electrical automobile, however U.S. sellers satisfied the corporate to add a gas engine underneath the hood. Though the hole between ICE and EV fashions continues to slender, the mild-hybrid GLB continues to be about €4,000 cheaper than its electrical sibling in Germany.
How a lot may it value? We’d wager it’s going to command a big premium over the GLB (from €46,868). On the identical time, it’ll clearly stay effectively under the G-Class, which prices greater than two and a half occasions as a lot, at €127,591. If it’s actually an all-new mannequin, as Mercedes executives declare, that may doubtless translate right into a a lot increased asking value than the corporate’s present crop of compact vehicles with out encroaching on G-Class territory.
Motor1’s Take: Value-cutting choices are being made every single day throughout the trade. Automakers need to trim bills wherever they will, and making the most of decrease working prices is a no brainer. Assembling the g-Class in Hungary would deal an enormous blow to the German manufacturing unit, however that’s how the cookie crumbles when corporations attempt to save each cent.
From a shopper perspective, the alleged choice shouldn’t actually upset potential consumers, on condition that the full-size G-Class isn’t made in Germany both. In actual fact, it’s technically not even constructed by Mercedes, since Magna Steyr handles manufacturing at its facility in Graz, Austria. That hasn’t hindered the automobile’s success, which posted record sales final yr, with demand rising 23 p.c to 49,700 items.
Supply:
Automotive Information Europe