Cut-price Mercedes-Benz GLC 200 coming

Mercedes-Benz Australia has announced the arrival of the GLC 200 in September 2018, priced from $61,990 plus on-road costs.

Slashing the price of entry to the Mercedes-Benz GLC-Class by more than $5000, the new rear-wheel drive GLC 200 undercuts the key rivals including the Audi Q5 (from $65,900), BMW X3 (from $66,900) and upcoming Alfa Romeo Stelvio (from $65,900).

Matching the price of the most affordable C-Class sedan, the C 200, the entry-level GLC 200 is the first version of the mid-size GLC-Class luxury SUV to eschew all-wheel drive in Australia.

But while the GLC 200 is the new price-leader in the range, the rest of the GLC range will experience price hikes of around $1000 – except for the fire-breathing V8-powered AMG GLC 63 S, which remains at $164,900 (see price list below).

The GLC 200 is not available with the GLC Coupe body type and Mercedes-Benz has boned the previous entry-level model, the $67,500 GLC 220 d, from both the GLC SUV and GLC Coupe line-ups.

The Mercedes-Benz GLC 200 is propelled by a detuned version of the GLC 250's 155kW/350Nm 2.0-litre turbo-petrol engine, generating 20kW and 50Nm less at 135kW/300Nm.

Fuel economy is expected to slip slightly below the GLC 250's 7.2L/100km.

The rear-drive Mercedes-Benz GLC 200 continues to be paired with Benz' nine-speed automatic transmission and the standard equipment list remains generous.

Still included is keyless engine start, electric front seats with artificial leather upholstery, black ash wood trim, digital radio, autonomous parking, 360-degree camera and a 7.0-inch colour screen with sat-nav and touchpad controller.

Standard exterior features include LED headlights and 19-inch alloy wheels.

Safety-wise, and the GLC 200 comes with nine airbags, Collision Prevention Assist Plus, Blind Spot Assist and Benz's PRE-SAFE collision anticipatory system.

Despite the new entry-level GLC 200, Mercedes-Benz Australia expects the $70K-plus GLC 250 petrol and diesel models to remain the top sellers.

"Demand for the GLC 200 will become clearer over the next six months," said Jerry Stamoulis, said Mercedes-Benz Australia public relations and product communications manager.

"At this stage both the GLC 250 and GLC 250d make up most of the GLC volume in Australia and we expect this trend to continue."

The GLC was the third most popular vehicle line for Mercedes-Benz in Australia during 2017 and so far this year, with the A-Class in second place and the C-Class dominating Benz's sales charts.

How much does a 2018 Mercedes-Benz GLC cost?

GLC 200 -- $61,990 (new)
GLC 250 -- $71,600 (+$989)
GLC 250d -- $74,000 (+$800)
GLC 350d -- $91,100 (+$1110)
GLC 43 -- $103,500 (+$1389)
GLC 63 S -- $164,900 (unchanged)

GLC 250 Coupe -- $82,300 (+$1089)
GLC 250d Coupe -- $84,700 (+$1200)
GLC 350d Coupe -- $101,200 (+$1300)
GLC 43 Coupe -- $111,000 (+$1389)
GLC 63 S Coupe -- $171,900 (unchanged)

* Prices exclude on-road costs