Reported 1 day ago
Mercedes-Benz anticipates its car production margin may plummet to as low as 6% this year due to intense market competition and fluctuating demand, leading to a 10% reduction in production costs by 2027. The company's shift towards higher-end vehicles is challenged by declining sales of luxury models in China, resulting in a 30% drop in operating earnings last year and a margin decrease from 12.6% to 8.1%. Despite aiming for a recovery towards a 10% margin by 2027, external factors like trade tensions and tariff threats from the US complicate their outlook.
Source: YAHOO