Mercedes-Benz Cars delivered 407,200 passenger vehicles worldwide in the third quarter of 2026, an 8% decrease from the same period a year earlier.

The decline was primarily linked to weaker demand in China, which offset higher deliveries in Europe and North America and a sharp increase in battery-electric vehicle (BEV) sales.

Sales in China fell 31% year-on-year (YoY) to 86,800 vehicles.

Mercedes-Benz attributed the decline to difficult market conditions and intense competition in the country.

The weaker Chinese market affected the company’s main vehicle categories.

Top-end sales fell 21% to 53,900 units, equivalent to 13.2% of Mercedes-Benz Cars’ total sales.

Core segment deliveries declined 6% to 234,200 units, although sales in this segment outside China increased by 5%.

Entry segment sales decreased 4% to 119,200 vehicles.

Outside China, Mercedes-Benz Cars increased sales by 1% compared with the third quarter of 2025.

European deliveries rose 5% to 168,700 vehicles, with Germany and the UK recording increases of 13% and 7%, respectively.

Sales in North America increased 4% to 83,200 units, including a 6% rise in the US.

BEV sales moved in the opposite direction to overall deliveries.

Mercedes-Benz Cars sold 68,400 BEVs during the quarter, up 61% YoY and 29% from the second quarter.

BEVs accounted for 16.8% of global passenger car sales, an increase of 7.2 percentage points from the prior-year quarter.

In Europe, almost one in three Mercedes-Benz passenger cars sold was fully electric.

The company said European order books for electric versions of the CLA, GLC, GLB, and GLA extend into 2027.

In the first nine months of 2026, Mercedes-Benz Cars sold 1,244,400 vehicles, down 7% YoY.

Sales in China totalled 297,000 units, representing a 29% decline from the corresponding period in 2025.

Mercedes-Benz sales & customer management board member Mathias Geisen said: “Mercedes-Benz Cars achieved the highest quarterly sales of all-electric vehicles in the company’s history, led by the electric GLC, whose sales more than tripled compared to the second quarter. Outside of China, passenger car sales in 2026 increased for the third consecutive quarter compared to the previous year.”

These results follow actions taken in July, when Mercedes-Benz Group cut its 2026 sales expectations for both the passenger car division and the broader group because of weakness in China, while maintaining its profitability targets.