Mercedes-Benz has lowered its 2026 sales outlook for both its passenger car division and the broader group, pointing to weakness in China as a key factor behind the more cautious view. The company said it is still maintaining its profitability targets, even as it trims expectations for future sales volumes.
The updated outlook comes after a softer quarter for the German automaker. Group revenue for the period fell 3.3% from a year earlier to €32.06bn, highlighting the pressure on performance as market conditions become more challenging.
Mercedes-Benz said unit sales expectations for Mercedes-Benz Cars have been reduced as part of the revised 2026 forecast. The move suggests the company sees a tougher demand environment ahead, particularly in China, which has become a more difficult market for global carmakers.
Even with lower sales expectations, the decision to keep profitability targets unchanged indicates Mercedes-Benz is still focused on protecting margins. That balance between volume and earnings is likely to remain central as the company navigates slower demand and shifting conditions in key markets.
