In keeping with a brand new report, Mercedes-Benz plans to launch new EVs powered by BYD’s LFP Blade battery. The transfer comes after the German luxurious automaker revealed its new CLA electrical sedan idea, the primary of its entry-level class designed to tackle EV leaders like Tesla.

Chinese language newspaper CBEA reported that Mercedes-Benz will start manufacturing of the brand new EVs fitted with BYD’s blade battery in 2025 (by way of Automobile Information China).

Mercedes-Benz officers declare the newly revealed CLA electrical sedan idea can have cruising vary of 466 miles (750 km) that includes LFP batteries from BYD.

The transfer would make sense as Mercedes-Benz (Daimler) and BYD have a historical past of cooperating. In 2010, the 2 firms established an R&D three way partnership to develop and produce new power autos (NEV). Below the Denza sub-brand, the JV launched a brand new NEV in China.

Rumors have been swirling as early as 2020 that Mercedes would accomplice with BYD to make use of its blade batteries.

Like many luxurious automakers, Mercedes makes use of ternary (Nickel Manganese Cobalt) batteries for its present EV lineup.

Nevertheless, LFP batteries are gaining recognition as a result of cheaper prices. LFP batteries require much less treasured metals like Cobalt, enabling them to be produced for cheaper.

Mercedes-Benz CEO Ola Kallenius defined on the IAA Mobility present in Munich how the corporate will take care of prices, together with battery uncooked supplies, to boost revenue margins.

Mercedes CLA electrical sedan idea to rival Tesla

The new CLA idea would be the first Mercedes EV to make use of its next-gen 800V MMA platform. Mercedes is nicknaming it the “one-liter automotive” in reference to its power consumption of round 5.2 mi/kWh (12 kWh/ 100km).

The newly developed EV will kick off a wholly new class of entry-level Mercedes EVs beginning in 2025 to compete with Tesla and automakers in China.

One of many greatest causes for the lower cost level – LFP batteries. Many automakers are shifting to LFP to decrease prices.

Tesla confirmed that almost half of its autos produced within the first quarter of the 12 months have been LFP. CEO Elon Musk has talked about a number of instances that the EV maker plans to shift extra autos to LFP to beat uncooked materials provide constraints.

The EV leaders makes use of BYD blade batteries in some Mannequin 3 variations and the brand new Mannequin Y constructed at Gigafactory Berlin.

Different automakers, together with Ford, Toyota, and Hyundai, have autos geared up with BYD’s Blade batteries.

Kia’s newly launched EV5 electrical SUV (anticipated to begin at round $22,000 in China) is one other mannequin anticipated to make use of BYD LFP batteries.

In the meantime, in China, LFP batteries accounted for over 68% (103.9 GWh) of whole battery capability put in within the first half of the 12 months.

Mercedes additionally plans to launch a smaller, cheaper electrical G-Class mannequin to develop the model into new markets (learn extra in regards to the mini G-Wagon right here).