During its 2025 Capital Market Day, Mercedes-Benz discussed not only its current state, which saw the automaker curb production in the face of slow EV adoption but also its plans and hopes for the future. Despite its reevaluation of electrified car production, the brand says it “retains the ambition to defend margins as the BEV [battery electric vehicle] share increases.” Down the road, Mercedes has a lot of pieces in motion, among them a new V8 engine and another G-Class.
Future Plans Include A New, Smaller G-Wagen
Mercedes’ US-market G-Class SUV has always been a large SUV built for off-roading in comfort. By and large, it has completely shed its utilitarian, proto-military roots. The “new smaller version” of the G-Class only promises one thing at the moment EM size. Should the
shrink some, it could come in the form of a shortened two-door model, and not something more crossover-sized. The G-Class at one time offered two-door versions, and a sort of up-market take on the two-door Wrangler could be interesting. AMG will also be heading in a new direction, and the automaker has promised a new V8 in addition to the upcoming lowercase “g”-Class.
The legendary G-Class family will be expanded with a new smaller version. Mercedes-AMG plans to outgrow the performance market, thanks to a heavily refreshed model lineup from 2026 onwards and a strategic evolution of its portfolio, which will include a next-generation, high-tech electrified V8 and dedicated high-performance electric models based on AMG.EA.
A New V8 And AMG’s New Direction
Mercedes doesn’t provide any information on its new V8, beyond admitting it’ll be electrified. That’s a pretty broad statement these days and could mean the new engine uses everything from a small 48-volt mild-hybrid system to a full suite of batteries and electric motors, not unlike the direction the new
has taken. Hopefully, Mercedes is able to learn from BMW’s mistakes and keep curb weights lower. The continuation of the V8 isn’t much surprise, given the lackluster response to Mercedes’ new downsized and hybridized four-cylinder that has found a home in previously V8-powered products like the C63.
Speaking of AMG, it’s tough to say what “outgrow the performance market” means. It could mean something as simple as the continued growth of AMG as (in Mercedes’ point of view) a performance market leader. Or it could mean a new direction for the subbrand, bringing the AMG badge to products that weren’t previously in AMG’s wheelhouse. After all, the automaker does reference a “heavily refreshed” lineup.
TopSpeed’s Take
A new, smaller G-Class excites us. Mercedes has an opportunity to bring the G-Class to a wider group of buyers, and given the popularity of the off-road SUV segment in the US, it’s sure to be a winning formula. While the current SUV’s six-figure starting price doesn’t lend itself to a more affordable, smaller version, we’re hoping the G-Class makes something of a return to its more rugged, utilitarian roots, with simple powertrains and basic features focused on longevity, usability, and durability.
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