Mercedes-Benz chief executive Ola Källenius expressed confidence that the company could cope with competitive conditions in the Chinese market in remarks to journalists at the 2024 Beijing International Automotive Exhibition on Thursday.
"We are not standing still," Källenius said. Mercedes-Benz could keep up with the rapid pace of technical progress in China, he added.
The German company maintains development centres in Beijing and in Shanghai, both of which are integrated into its global network. These centres did not function as independent satellites "making in China for China," Källenius said.
"They work hand-in-glove with the developers based in Sindelfingen and also in Tel Aviv, also in Bangalore, also in Silicon Valley," Källenius said. Developments occurring in these locations could be introduced into vehicles in other markets by digital means.
Källenius pointed to stiff competition in the market below around $40,000. But he noted that Mercedes saw itself as an upmarket manufacturer and well protected against aggressive discounting in the lower part of the market.
Hubertus Troska, the executive responsible for China, noted the need for rapid development for the Chinese electric vehicle market.
"We need this proverbial China Speed," he said, stressing technologies such as voice input, networking and driver assistance designed specifically for the customer.
"The electric vehicle market is growing rapidly," Troska said. New manufacturers were rapidly bringing products to market aimed primarily at young Chinese consumers.
