CARMEL, Calif. -- Mercedes-Benz is lowering the base price of its E-class sedan by nearly $1,000.
The redesigned 2017 E class starts at $53,075, including shipping, for the entry-level E300 rear-wheel-drive sedan. The E300 4MATIC, with all-wheel drive, starts at $55,575, including shipping. The vehicles go on sale later this summer.
The lower price reflects the move to a four-cylinder engine, plus gains in production efficiencies, said Dietmar Exler, CEO of Mercedes-Benz USA, at a press event here.
The E300 replaces the outgoing E350 equipped with a six-cylinder engine. The 2016 E350 is priced at $54,025, including shipping. Mercedes officials say the four-cylinder in the 2017 model outperforms the outgoing six-cylinder in virtually every facet. It is the first four-cylinder E-class sedan ever in the U.S.
The 2 percent price drop becomes an 8 percent “value enhancement” when factoring in added new standard equipment, said Bart Herring, general manager of product management for Mercedes-Benz USA.
A price drop also pays dividends in lease-heavy segments.
“It should increase and help the residual value,” Exler said.
That means vehicle incentives don’t have to be as high to achieve a desired monthly lease rate.