Mercedes forced to use BMW engines in radical strategy rethink

Mercedes-Benz is reportedly in high level discussions with BMW about using the Bavarian brand’s four-cylinder petrol engines for its future models as part of radical plans to switch to plug-in and range-extender hybrids following a slower than expected uptake of EVs.

Mercedes-Benz is about to sign a deal with arch nemesis BMW to secure the rights to use its four-cylinder engines in future models, following a radical rethink of its powertrain strategy.

According to Autocar, Mercedes had banked that a huge global shift to EVs would have meant that internal combustion vehicles would have become almost obsolete by now.

Sadly for Benz however, the slow global uptake of EVs now means it’s been forced to rethink its approach and develop a Euro 7-compliant engine to power the plug-in and range-extender hybrids now needed to fill the gap.

To go it alone could cost billions, so execs did something unimaginable even 10 years ago – it sat down with BMW to discuss buying an off-the-shelf combustion engine.

As part of the deal, that will be announced before the end of the year if successful, BMW is thought to have agreed to supply its ‘B48’ 2.0-litre turbo-petrol four-cylinder engine for its future CLA, GLA, GLB, C-Class, E-Class, GLC and the inbound ‘Little G’.

Mercedes had originally developed an all-new ‘M252’ 1.5-litre four-cylinder turbo that will be built on its behalf in China by Horse – the Geely-Renault joint venture.

Despite being all-new though, the 1.5T isn’t suited to a PHEV application, pressuring Benz execs to pick up the phone.

To the disgust of both BMW and Benz fanbases, the new agreement makes sense in a world of uncertainty, especially when you consider that not only will the new supplier deal slash huge costs for Benz, but the new powertrain might only be on sale for 10 years before eventual combustion bans make it redundant anyway in 2035.

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