Mercedes CEO absolutely convinced about India’s potential, FTA could tweak plans

On the sidelines of the 2026 S-Class facelift’s reveal, Mercedes global CEO Ola Kallenius said he is absolutely convinced about the scale of its future in India. However, in response to a query from Autocar India on the impact the India-EU FTA could have on local production, he was not specific, saying, “India is a growth market, so whatever happens, we are going to grow and continue to invest in the country. We will always adjust to achieve the best equilibrium for the models there.”

1. Mercedes currently assembles over 10 model lines in India
2. Mercedes India R&D centre’s inputs incorporated in the 2026 S-Class

India input in 2026 Mercedes S-Class facelift 

Mercedes’s Bengaluru R&D centre is the brand’s largest outside Europe.

Currently, Mercedes-Benz India produces the A-Class, C-Class, E-Class, S-Class, GLA, GLC, GLE and GLS at its plant in Pune and even the AMG C 43, Maybach S 580 and all EQ models. 

The plant, and indeed the whole of Mercedes’s business, will always be significant in India. The brand’s Bengaluru R&D centre is its largest outside of Germany, and Kallenius affirms that the country will continue to be at the forefront of the brand’s global operations. “The new S-Class has contributions from five continents; that’s what’s required to make the best car in the world, and the India R&D centre played an important role.”

Kallenius also hailed the contours of the FTA agreement, saying, “It’s not possible for both sides in any agreement to get everything, but I have to applaud [commerce and industry] minister [Piyush] Goyal and the EU trade secretary for this important deal.”