Mercedes-Benz starts production of its first electric SUV in the US

The company is building the EQS SUV at its Alabama production plant.


Mercedes-Benz has officially launched production of its all-electric EQS SUV at its Tuscaloosa, Alabama production plant, the company announced today. Earlier this year the German automaker previewed the vehicle — its very first electric SUV — and promised it would be built in the US and available later this fall. While supply chain bottlenecks have delayed launches of other new EVs, Mercedes has a couple of factors working in its favor. The company already secured its battery materials by partnering with the Canadian government this month. It also plans to produce its batteries locally, at its own factory in nearby Bibb County, Alabama.

Our preview of the EQS SUV noted that its battery range works out to a little over 300 miles. The automaker has yet to disclose the price of the car, which, as Electrek notes, will determine whether the SUV is eligible for a 2023 EV tax credit or not. Currently, new SUVs must be assembled in North America and priced under $80,000 to qualify for next year’s tax credit. Given that Mercedes’ EQS sedan started at a little over $103,000, it’s probably safe to say that the price of its new electric SUV will trump that — and won’t qualify for any tax rebates. Seems like EQS SUV drivers will have to resign themselves to saving money on fuel.