Manufacturing News

Mercedes shrinks SUV with GLC coupe concept

Mercedes-Benz, which is introducing four SUVs this year, is considering the introduction of an all-new compact coupe version as early as 2016 as buyers continue to favor sporty models.

Nearly 18 centimeters shorter than the mid-sized GLE coupe that will go on sale this year, the "near-production" concept car with a low sloping rear end would be pitted against the curvy BMW AG X4 SUV that went on sale in 2014.

The prototype, dubbed the GLC coupe, gives a "foretaste of future SUV models from Mercedes-Benz," said Gorden Wagener, head of design at parent company Daimler AG, in a statement marking the concept's unveiling Sunday at the Shanghai auto show.

Mercedes is rolling out four new or revamped SUVs this year in its effort to overtake BMW AG and Audi AG in worldwide sales by the end of the decade.

The GLC is part of Mercedes's drive to expand its lineup with 11 all-new models. In February, Daimler CEO Dieter Zetsche declared 2015 to be "the year of the SUV."

Competitors' growth
Last year, Mercedes' sales growth outpaced gains at both first-place BMW and No. 2 Audi.

In the first three months of 2015, Mercedes deliveries jumped 16 percent, compared with 6.1 percent for Audi and 5.4 percent for Munich-based BMW. SUVs accounted for 21 percent of Mercedes's volume in the quarter.

Demand for roomy yet sporty SUVs is set to expand further, according to IHS Automotive. The market research company forecasts that global sales of the models will rise 32 percent from 2014 to 24.7 million vehicles by the end of the decade.

"Among the trends we're expecting includes far more sub- compact SUVs to be launched over the next few years," said Ian Fletcher, an IHS analyst in London. Producers of luxury cars "will also look to gain greater visibility in the compact SUV segment."

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