Daimler’s new flagship electrical sedan will generate “cheap” returns proper from the beginning because the car options top-line know-how, CEO Ola Kallenius stated.

The Mercedes EQS, which debuts this week, will produce enticing income whereas nonetheless lagging the returns of its combustion engine-powered sibling, the S-Class, because of the larger value of electric-car elements, Kallenius stated in an interview with Frankfurter Allgemeine Sonntagszeitung.

“The logic stays the identical: the highest section guarantees the perfect revenue margin,” he advised the German newspaper.

The EQS would be the first Mercedes constructed on devoted electric-car underpinnings, marking a milestone for the German model that has been criticized for taking too lengthy to embrace EVs.

The Telsa Mannequin S rival will provide a driving vary of 770 km (478 miles), placing the car forward within the electric-car race, Kallenius stated.

Automakers are stepping up their sport to meet up with battery-vehicle chief Tesla and a bunch of different newcomers with valuations which have vaulted previous these of many long-established producers.

Volkswagen Group final month introduced plans to develop into the brand new international EV gross sales chief no later than 2025, whereas Common Motors has stated it’s going to give up making combustion-engine vehicles by 2035.

Daimler could hit a goal to make its fleet carbon impartial by 2039 sooner than anticipated, stated Kallenius, who introduced the aim two years in the past.

“This may seemingly occur sooner given the dynamic tempo we’re seeing right this moment,” he stated.