Mercedes-Benz has pushed back plans to build its popular GLC SUV in the United States by more than two years, with production at its Alabama factory now expected to begin in May 2030.

The German automaker had originally planned to start assembly in November 2027 at its Vance facility, around 40 miles southwest of Birmingham.

The revised schedule, reported by Bloomberg, represents a significant delay to a project involving a planned $4 billion investment.

Mercedes announced in March that it would bring GLC production to the US, partly to avoid the 15 percent tariffs currently imposed on vehicles imported from Germany.

However, the company has reportedly decided to wait for the next-generation GLC, internally known as V255, rather than invest in manufacturing the current model shortly before its replacement.

The delay means Mercedes will continue paying import tariffs on one of its strongest-selling American models. The company sold almost 54,000 GLCs in the US during the first nine months of the year, accounting for nearly a quarter of its passenger vehicle sales in the market.

AutoForecast estimates that US production could reach approximately 50,000 vehicles during its first year.

The postponement also comes amid challenges at Mercedes’ Alabama plant, where slower electric vehicle demand and production changes have reduced factory utilisation.

Meanwhile, potential US tariff relief could ease pressure on European manufacturers before local production begins.