Mercedes-Benz will unveil a direct rival to Tesla's Model X at the Paris motor show in late September, according to new reports.
The news that a new zero-emission SUV is in the works at Mercedes was revealed by British car magazine Autocar, who cited a "high-ranking insider".
Created to broaden its electric vehicle strategy, the new concept is already being secretly built in a top-secret workshop outside of Benz's Stuttgart HQ, ahead of its official reveal on September 29 at the French car show.
Claimed to be Benz's first "truly dedicated electric vehicle", the new zero-emission SUV is claimed to provide "a clear insight" into the production vehicle's external and internal design, says the mystery Mercedes insider -- hinting the concept will be close to the production vehicle that will follow.
Mercedes-Benz is thought to be under pressure to create a dedicated pure-EV to react to the new threat from the Tesla's Model X.
A new pure-electric SUV will also battle Audi's forthcoming Q6 and the electric-powered Jaguar's SUV that could be here as soon as 2017.
Set to be on sale by 2019, the all-new pure-electric Mercedes will arrive later than its rivals.
Technical details remain thin on the ground but, thanks to new lithium-ion battery technology, the zero-emissions Benz will almost certainly match the Audi's confirmed 400km range.
The SUV is believed to be developed alongside a new luxury sedan to rival the Tesla Model S and both cars will come with unique styling different to the rest of the Mercedes-Benz range. They will also be sold under a new eco sub-brand to rival BMW's i.
Instead of being based on an existing vehicle, both sedan and SUV will be underpinned by an all-new electric vehicle architecture that will also support semi- and fully-autonomous driving hardware.
Over the years Mercedes-Benz has flirted with pure-electric-powered vehicles, including the last-generation Smart ForTwo and the current B-Class, but this will be the firm's first clean-sheet EV design and execution.
To help promote its significant investment in pure-electric power there are already rumours circulating that the German car-maker will join Jaguar, Renault, Citroen and Volkswagen by going racing in Formula E. Mercedes-Benz has denied that any decision has been made.