Mercedes-Benz has set its sights on Malaysia as a key market for its complete transition to an all-electric lineup by 2030. Earlier this year, the company achieved a milestone by introducing the first domestically assembled electric vehicle in Southeast Asia. Notably, the demand for electric Mercedes models in Malaysia has skyrocketed by 200 percent this year, surpassing the global growth rate of approximately 120 percent in the first half of the year.

Presently, electric vehicles constitute 30 percent of Mercedes’ product lineup in Malaysia. The company’s forthcoming strategies for electric and combustion engine cars will mirror its worldwide commitment to achieving full-electric status by 2030. Mercedes-Benz Malaysia has experienced escalating demand for electric vehicles.

To align with this automotive shift, Malaysia is actively fostering the development of an electric vehicle ecosystem and implementing incentives to bolster adoption. The country has set a goal for electric vehicles, including plug-in hybrids, to comprise 15 percent of the overall industry volume by 2030. Over the past year, two major players in the electric vehicle industry, BYD and Tesla, have entered the Malaysian market.

Mercedes is calculating that its premium brand positioning will allow it to stand apart from the increasingly competitive landscape. With an array of five models and seven variants, Mercedes has one of the most extensive electric vehicle lineups available in Malaysia. While the EQS 500 4Matic is manufactured locally, its starting price of 649,000 ringgit ($142,000) positions it as the highest-priced electric vehicle within the market.

Mercedes Maylasia faces tough competition, Tesla’s Model Y SUV has a starting price of 199,000 ringgit (equivalent to about $43,400). BYD’s Dolphin EV offers an appealing entry point at 99,900 ringgit (approximately $19,700), and its Atto 3 starts from 149,800 ringgit (around $29,600).