Mercedes-Benz to sell electric Sprinter van in U.S. by 2023, sources say
Skip to main content
Sister Publication Links
  • Automotive News Canada
  • Automotive News Europe
  • Automotive News China
  • Automobilwoche
AN-LOGO-BLUE
Subscribe
  • Subscribe
  • Account
  • login
  • HOME
  • NEWS
    • Dealers
    • Automakers & Suppliers
    • News by Brand
    • Cars & Concepts
    • Final Assembly
    • China
    • Shift
    • Mobility Report
    • Special Reports
    • Digital Edition Archive
    • This Week's Issue
    • Dan Parker will pilot his Chevrolet Corvette with a custom guidance system that provides audible feedback.
      Blind racer gets Cruise support, but he'll drive
      You may have won! But no
      The course was planned for a Vermont ski resort, until neighbors shouted the idea down.
      Off-road course for Broncos? Not in my backyard
      The 1965 Mustang Shelby GT350 reigned supreme in the Ford Frenzy tournament.
      Shelby GT350 gets its one shining moment
    • Hyundai logo
      Hyundai Group to launch EVs every year starting in 2022
      The Ford Mustang Mach-E assembled at Ford's joint venture with Changan Automobile Co.
      Ford starts preorders for locally built Mustang Mach-E
      Geely targets Apple, Big Tech with upstart EV unit
      Used light-vehicle sales in Q1 top pre-pandemic level
    • Udelv CEO offers a historical perspective on high-tech goods delivery
      Q&A with BrightDrop CEO Travis Katz
      Automakers optimize manufacturing, customize products through digitization
      3D-printing a Porsche: Making concepts matter
    • Hyundai logo
      Hyundai Motor Group names chief for new mobility division
      Tesla Autopilot web.jpg
      Tesla, ex-engineer settle lawsuit over Autopilot source code
      Cruise self-driving vehicle
      Cruise raises $2.75 billion from Walmart, others
      TuSimple
      TuSimple raises $1.35 billion in U.S. IPO; company valued at nearly $8.5 billion
    • Elon Musk interview
      Tesla’s Model Y, on sale since March, is a showcase of EV technologies competitors will benchmark.
      Technologies of Electrification
      Cadillac’s Lyriq EV will be unveiled Aug. 6.
      Future Product Pipeline
      A CALL TO ACTION
    • The Volkswagen ID6 will be built in China but likely will be added to the U.S. lineup and built here eventually.
      VW adds 3-row ID6 crossover to EV family
      After all this time, industry still wrestling with diversity
      Reuss and Reuss on EV1 and its Impact
      2021 PACE Awards
      Here are the finalists for the 2021 PACE and PACEpilot Awards
    • Access F&I
    • Fixed Ops Journal
    • Marketing
    • Used Cars
    • Retail Technology
    • Sales
    • Best Practices
    • Dealership Buy/Sell
    • NADA
    • NADA Show
    • Automakers
    • Manufacturing
    • Suppliers
    • Regulations & Safety
    • Executives
    • Talk From The Top
    • Leading Women Network
    • Guide to Economic Development
    • PACE Awards
    • Management Briefing Seminars
    • World Congress
    • Aston Martin
    • BMW
      • Mini
      • Rolls-Royce
    • Daimler
      • Mercedes Benz
      • Smart
    • Ford
      • Lincoln
    • General Motors
      • Buick
      • Cadillac
      • Chevrolet
      • GMC
    • Honda
      • Acura
    • Hyundai
      • Genesis
      • Kia
    • Mazda
    • McLaren
    • Mitsubishi
    • Nissan
      • Infiniti
    • Stellantis
      • Alfa Romeo
      • Citroen
      • Chrysler
      • Dodge
      • Ferrari
      • Fiat
      • Jeep
      • Lancia
      • Maserati
      • Opel
      • Peugeot
      • Ram
      • Vauxhall
    • Renault
    • Subaru
    • Suzuki
    • Tata
      • Jaguar
      • Land Rover
    • Tesla
    • Toyota
      • Lexus
    • Volkswagen
      • Audi
      • Bentley
      • Bugatti
      • Lamborghini
      • Porsche
      • Seat
      • Skoda
    • Volvo
    • (Discontinued Brands)
    • Virtual reveals (Sponsored)
      • MITSUBISHI: 2022 Outlander
      • NISSAN: 2022 Pathfinder and 2022 Frontier
      • GENESIS: 2021 GV80
      • KIA: 2021 K5
      • LEXUS: 2021 IS
      • NISSAN: 2021 Rogue
      • TOYOTA: 2021 Venza and 2021 Sienna
    • Auto Shows
    • Future Product Pipeline
    • Photo Galleries
    • Car Cutaways
    • Design
  • OPINION
    • Blogs
    • Cartoons
    • Keith Crain
    • Automotive Views with Jason Stein
    • Columnists
    • China Commentary
    • Editorials
    • Letters to the Editor
    • Send us a Letter
    • Mach-E
      For Ford, 3rd-party charging network must improve to reap Mustang Mach-E potential
      VW logo with reflection
      VW lied to sell diesels; now it lied to sell EVs
      265725_XC90_Inscription_in_Birch_Light.jpg
      Volvo targets top talent in U.S., China with generous parental leave policy
      Fisker gets a rare second chance to build his own car company
    • In case of supply chain woes, break glass
      Quick! The Biden phone
      VW's Joke Is On You
      Joke Is On You
      view gallery
      4 photos
      Leo Michael Cartoons - Q2 2021
      Leo Michael: There's Nothing You Can Do!
      Nothing You Can Do
    • Shifting gears away from the stick shift
      SEMA still a wonderful circus
      Penske still has plenty of races to win
      Ford's turn in the hot seat
    • April 13, 2021 | GM shows it’s serious about electric
      April 6, 2021 | For Volkswagen, authenticity is the only path forward
      March 30, 2021 | Tesla “changes” car industry
      March 23, 2021 | Remote work will continue after the pandemic
    • Tracy Fred
      Dealers deserve access to their data
      Ford's Blue Advantage tool shows it's ‘listening' to dealers
      Jamie Butters
      EV rebates must work at retail
      Dan Shine
      Service drive can lift dealerships as source of used-vehicle inventory
    • Why Xiaomi holds promise of becoming formidable EV player
      Geely’s new EV push is decidedly new age
      Charging poles installed outside a Tesla store in downtown Shanghai.
      Unreliable public EV charging sites prompt automakers to take wheel
      VW Group's playbook to dominate EV market
    • A step in right direction for Nissan dealers
      ‘Voltswagen' April Fools' gag far from funny
      Less is more in lineups as well as on lots
      Electric vehicle charger
      Electric vehicle hype opens door to short sellers
    • ‘Voltswagen' was clever and fun
      With EVs, bias for traditional carmakers
      EV adoption in U.S. shouldn't be forced
      There goes VW recycling again
  • DATA CENTER
  • VIDEO
    • AutoNews Now
    • First Shift
    • Special Video Reports
    • Weekend Drive
    • AutoNews Now: Ram output said to be slowing as COVID cases surge
      AutoNews Now: Stellantis outlines electrification targets for U.S., Europe
      AutoNews Now: Audi targets EV mass market with Q4 e-tron
      AutoNews Now: Another threat to supply chain: Rubber shortage
    • First Shift: Indicted ex-Nissan exec Kelly 'blameless,' U.S. senator says
      First Shift: Ford, Nissan plan more downtime amid chip crisis
      First Shift: Ford to launch 'BlueCruise' hands-free driver-assist system in Q3
      First Shift: Lithia tops AutoNation in U.S. store count with Suburban deal
    • Toyota store's in-house training program retains more techs
      Virtual sales manager Jay Barger
      'Glued to a phone': Acura store's virtual sales boss lifts deliveries, efficiency
      One man’s journey from homelessness to thriving dealer
      Bert Ogden Auto Group
      How a Texas group is cutting costs, saving millions
    • Why the pickup is the auto industry's 'battleground'
      Carlos Ghosn's quest to restore his reputation
      Why Ford must execute to avoid 'deep trouble'
      Why Honda is 'locked and loaded' for 2020
  • EVENTS & AWARDS
    • Events
    • Awards
    • Congress Conversations
    • Retail Forum: NADA
    • Canada Congress
    • Europe Congress Conversations
    • Fixed Ops Journal Forum
    • Shift: Mobility at a Crossroads
    • 100 Leading Women
    • 40 Under 40 Retail
    • All-Stars
    • Best Dealerships To Work For
      • Register for the 2021 Best Dealership To Work For
    • PACE Program
    • Rising Stars
    • Europe Rising Stars
  • JOBS
  • AN Solutions
  • +MORE
    • Leading Women Network
    • Podcasts
    • Webinars
    • In the Driver's Seat
    • Publishing Partners
    • Classifieds
    • Companies on the Move
    • People on the Move
    • Newsletters
    • Contact Us
    • Media Kit
    • RSS Feeds
    • Shift: A Podcast About Mobility
    • Special Reports Podcasts
    • Daily Drive Podcasts
    • AAM
    • Cars.com
    • DealerPolicy
    • Gentex
    • IHS Markit
    • Remember Group
    • Reputation.com
    • Ricardo: Dave Shemmans
    • Ricardo: Marques McCammon
    • Allstate: Want more from your F&I?
    • Ally: Navigating the future of automotive retailing
    • Amazon Web Services: Any place, any time, any channel
    • Amazon Web Services: The power of the cloud
    • Amazon Web Services: Universal translator: Harnessing sensor data to build better automotive software
    • Capital One Auto: Dealerships remain vital to an increasingly digital car shopping journey
    • DealerSocket: 5 steps to modernizing the buyer's journey
    • Epic Games: Real-time tech is the next frontier of automotive
    • Epic Games: Transforming the auto industry with digital assets
    • FTI Consulting: Crisis as a catalyst for change
    • Google: 5 trends shaping the auto industry's approach to a new normal
    • Google: Google's dealer guidebook helps dealers navigate today's digital landscape
    • IHS Markit: Automotive loyalty in the wake of the COVID-19 recession
    • IHS Markit: COVID-19: The future mobility delusion
    • Level5: 2020 Automotive E-Commerce Report
    • Motormindz: Toward hyperconnectivity: 5 ways to position your business to profit from connected car
    • Naked Lime: Bring social reputation together as part of big-picture marketing
    • Wells Fargo Auto: Switching gears from LIBOR to SOFR
    • Ally: Do It Right
    • DealerSocket
    • Deloitte: Cyber everywhere: Preparing for automotive safety in the face of cyber threats
    • Facebook: The road to a zero-friction future
    • Guide To Economic Development
    • PayPal Credit: How consumer financing helps drive sales for online auto parts retailers
MENU
Breadcrumb
  1. Home
  2. Mobility Report
December 07, 2020 12:00 AM

Demand, rivals pull eSprinter into U.S.

Urvaksh Karkaria
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print
    The U.S. version of the eSprinter could be powered by up to a 120-kilowatt-hour battery.

    Mercedes-Benz plans to bring an electric commercial van to the U.S. as early as the third quarter of 2023, according to people familiar with the matter.

    The German automaker began selling the eSprinter, a battery-powered version of the boxy Sprinter van, in Europe this year. Mercedes has hesitated to bring the EV to the U.S. because of its limited driving range and the high cost of homologation.

    But the competitive landscape is changing. Emerging demand for electric delivery vans from logistics companies, tightening emissions regulation and new products from competitors are spurring Mercedes to bring the eSprinter to the automaker's second-largest market, the people said.

    Electric van players

    Manufacturers that intend to market electric commercial vans in the U.S.:

    Arrival: UPS Inc. has ordered 10,000 electric delivery vans from the British startup. Arrival, backed by Hyundai, will build a $46 million assembly plant in Rock Hill, S.C.
    Daimler: The German producer of the Sprinter van has introduced its battery-powered eSprinter in Europe. Sources say the van will come to the U.S. in 2023.
    Ford: The automaker will offer a battery-electric version of the Transit cargo van in the U.S. and Canada for the 2022 model year. The E-Transit will be powered with a 67-kilowatt-hour battery.
    General Motors: GM reportedly will begin production of an electric van, code-named BV1, in September. It will be assembled at the automaker's Detroit-Hamtramck plant.
    Rivian: The U.S. startup intends to deliver 100,000 midsize electric vans to Amazon by 2030. Rivian is backed by Ford, Cox Automotive and Amazon.

    The U.S. electric commercial van market is still a greenfield, but it's likely to become a battlefield in the next few years as industry heavyweights General Motors and Ford Motor Co. bring product. Guidehouse Insights forecasts battery-powered light commercial vehicle sales in the U.S. will reach about 623,000 in 2030, up from about 56,000 this year.

    "Given the rapidly increasing interest from commercial fleets in going electric, it would be foolish for Daimler not to offer the eSprinter here," Guidehouse analyst Sam Abuelsamid said. "What it comes down to is making sure the vehicle has a competitive range and performance capability."

    A bigger battery

    The U.S. version of the eSprinter could be powered by up to a 120-kilowatt-hour battery, sources said. That would be a significant upgrade over the 55-kWh battery in the current European version and that of a competing electric van expected from Ford next year.

    Swickard: ESprinter attractive as fleet customers face CO2 targets.

    Dealers are looking forward to the introduction of a "competitive eSprinter product" for the U.S., Mercedes-Benz Dealer Board Chairman Jeff Swickard said.

    "It would be attractive to the U.S. market because fleet customers have CO2 and sustainability targets to achieve, and many other customers could benefit from lower operational costs," said Swickard, CEO of Swickard Automotive Group, which operates four Mercedes stores in Alaska, Georgia, Oregon and Washington.

    An announcement related to the eSprinter is expected this month. A Mercedes-Benz spokesman declined to comment last week.

    The eSprinter would play in an evolving segment for automakers. Commercial vehicles traditionally carry higher profit margins and are typically a source of repeat business.

    But the product segment is heavily dominated by U.S. automakers. Ford and GM alone controlled 70.4 percent of the large van segment through September of this year.

    Ford E-Transit

    Nongasoline powertrains may suit some delivery vehicles, which operate on shorter, usually predictable routes. The onboard battery would also be capable of powering tools used by contractors, turning the vehicles into workshops on wheels.

    New demand for electric delivery vans already has emerged in the wake of the country's seismic shift to e-commerce — even before this year's pandemic.

    Amazon invested in U.S. EV startup Rivian and has put in an order for 100,000 midsize electric vans by 2030.

    "Amazon's buying anything and everything that looks like it might have a battery in it," said Conrad Layson, an analyst with AutoForecast Solutions.

    UPS Inc. has ordered 10,000 electric delivery vans from British startup Arrival, which is backed by Hyundai.

    Electric vehicles are "poised to revolutionize the commercial fleet world," said Scott Phillippi, UPS senior director of fleet maintenance and engineering.

    "We're partnered with smaller disrupters already, and we would like nothing better than seeing more players putting the innovation pedal to the metal in this space."

    Automakers are responding to the demand. Ford will offer a battery-electric version of the Transit cargo van in the U.S. and Canada for the 2022 model year. And GM will begin production of an electric van, code-named BV1, in September, according to AutoForecast Solutions.

    Ford and GM are Mercedes' largest competitors in the commercial segment, said David Ellis, general manager at RBM of Alpharetta, a major Sprinter retailer near Atlanta.

    "So we have to stay competitive and release an electric vehicle that will have longer range and larger carrying capacity," Ellis said. "The future of the auto industry is electric."

    Writing on the wall

    Mercedes is embracing electrification to meet stringent emissions targets, primarily in Europe and China. The automaker plans to launch 10 battery-electric vehicles and 25 plug-in hybrids globally by 2025. Last week, Daimler said it will invest more than $85 billion over five years as it pushes forward with electrification and digitization.

    The 2023 timing for the eSprinter's U.S. debut hits a sweet spot, said Jeff Schuster, president of global forecasting at LMC Automotive. The Sprinter model line is also due for a freshening in 2023.

    "It's going to take a bit of time to convince the commercial vehicle segment that EVs make sense," Schuster said. "And it allows for the marketing efforts to kick in ahead of the launch."

    It's unclear whether Mercedes would import the eSprinter to the U.S. or build it at its existing van factory in North Charleston, S.C. Meanwhile, Daimler is in the midst of a $1 billion expansion of its other U.S. plant, in Vance, Ala., to build EVs and batteries.

    RECOMMENDED FOR YOU
    Hyundai Motor Group names chief for new mobility division
    Letter
    to the
    Editor

     

     

    Send us a letter

    Have an opinion about this story? Click here to submit a Letter to the Editor, and we may publish it in print.

    Recommended for You
    Hyundai Motor Group names chief for new mobility division
    Hyundai Motor Group names chief for new mobility division
    Tesla, ex-engineer settle lawsuit over Autopilot source code
    Tesla, ex-engineer settle lawsuit over Autopilot source code
    Cruise raises $2.75 billion from Walmart, others
    Cruise raises $2.75 billion from Walmart, others
    Sponsored Content: Explore the all-new 2022 Mitsubishi Outlander
    Sign up for free newsletters
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    See more newsletter options at autonews.com/newsletters.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    Digital Edition
    Automotive News 4-12-21
    THIS WEEK'S EDITION
    See our archive
    Fixed Ops Journal
    Fixed Ops Journal 4-12-21
    Read the issue
    See our archive
    MOBILITY REPORT NEWSLETTER: Sign up for our Thursday afternoon Mobility Report newsletter, your one-stop shop for the latest developments at the intersection of transportation and technology.
    WEEKLY NEWSLETTER: Sign up to start your week with the top stories from the latest issue of Automotive News, delivered to your inbox first thing each Monday morning.
    DAILY NEWSLETTER: Sign up to get the top stories of the day in your inbox every business weekday afternoon.
    Get Free Newsletters

    Sign up and get the best of Automotive News delivered straight to your email inbox, free of charge. Choose your news – we will deliver.

    Subscribe Today

    Get 24/7 access to in-depth, authoritative coverage of the auto industry from a global team of reporters and editors covering the news that’s vital to your business.

    Subscribe Now
    Connect With Us
    • Facebook
    • Instagram
    • LinkedIn
    • Twitter

    Our mission

    The Automotive News mission is to be the primary source of industry news, data and understanding for the industry's decision-makers interested in North America.

    AN-LOGO-BLUE
    Contact Us

    1155 Gratiot Avenue
    Detroit, Michigan
    48207-2997

    (877) 812-1584

    Email us

    Automotive News
    ISSN 0005-1551 (print)
    ISSN 1557-7686 (online)

    Fixed Ops Journal
    ISSN 2576-1064 (print)
    ISSN 2576-1072 (online)

    Resources
    • About us
    • Contact Us
    • Media Kit
    • Subscribe
    • Manage your account
    • Reprints
    • Ad Choices Ad Choices
    • Sitemap
    Legal
    • Terms and Conditions
    • Privacy Policy
    • Privacy Request
    Automotive News
    Copyright © 1996-2021. Crain Communications, Inc. All Rights Reserved.
    • HOME
    • NEWS
      • Dealers
        • Access F&I
        • Fixed Ops Journal
        • Marketing
        • Used Cars
        • Retail Technology
        • Sales
        • Best Practices
        • Dealership Buy/Sell
        • NADA
        • NADA Show
      • Automakers & Suppliers
        • Automakers
        • Manufacturing
        • Suppliers
        • Regulations & Safety
        • Executives
        • Talk From The Top
        • Leading Women Network
        • Guide to Economic Development
        • PACE Awards
        • Management Briefing Seminars
        • World Congress
      • News by Brand
        • Aston Martin
        • BMW
          • Mini
          • Rolls-Royce
        • Daimler
          • Mercedes Benz
          • Smart
        • Ford
          • Lincoln
        • General Motors
          • Buick
          • Cadillac
          • Chevrolet
          • GMC
        • Honda
          • Acura
        • Hyundai
          • Genesis
          • Kia
        • Mazda
        • McLaren
        • Mitsubishi
        • Nissan
          • Infiniti
        • Stellantis
          • Alfa Romeo
          • Citroen
          • Chrysler
          • Dodge
          • Ferrari
          • Fiat
          • Jeep
          • Lancia
          • Maserati
          • Opel
          • Peugeot
          • Ram
          • Vauxhall
        • Renault
        • Subaru
        • Suzuki
        • Tata
          • Jaguar
          • Land Rover
        • Tesla
        • Toyota
          • Lexus
        • Volkswagen
          • Audi
          • Bentley
          • Bugatti
          • Lamborghini
          • Porsche
          • Seat
          • Skoda
        • Volvo
        • (Discontinued Brands)
      • Cars & Concepts
        • Virtual reveals (Sponsored)
          • MITSUBISHI: 2022 Outlander
          • NISSAN: 2022 Pathfinder and 2022 Frontier
          • GENESIS: 2021 GV80
          • KIA: 2021 K5
          • LEXUS: 2021 IS
          • NISSAN: 2021 Rogue
          • TOYOTA: 2021 Venza and 2021 Sienna
        • Auto Shows
        • Future Product Pipeline
        • Photo Galleries
        • Car Cutaways
        • Design
      • Final Assembly
      • China
      • Shift
      • Mobility Report
      • Special Reports
      • Digital Edition Archive
      • This Week's Issue
    • OPINION
      • Blogs
      • Cartoons
      • Keith Crain
      • Automotive Views with Jason Stein
      • Columnists
      • China Commentary
      • Editorials
      • Letters to the Editor
      • Send us a Letter
    • DATA CENTER
    • VIDEO
      • AutoNews Now
      • First Shift
      • Special Video Reports
      • Weekend Drive
    • EVENTS & AWARDS
      • Events
        • Congress Conversations
        • Retail Forum: NADA
        • Canada Congress
        • Europe Congress Conversations
        • Fixed Ops Journal Forum
        • Shift: Mobility at a Crossroads
      • Awards
        • 100 Leading Women
        • 40 Under 40 Retail
        • All-Stars
        • Best Dealerships To Work For
          • Register for the 2021 Best Dealership To Work For
        • PACE Program
        • Rising Stars
        • Europe Rising Stars
    • JOBS
    • AN Solutions
    • +MORE
      • Leading Women Network
      • Podcasts
        • Shift: A Podcast About Mobility
        • Special Reports Podcasts
        • Daily Drive Podcasts
      • Webinars
      • In the Driver's Seat
        • AAM
        • Cars.com
        • DealerPolicy
        • Gentex
        • IHS Markit
        • Remember Group
        • Reputation.com
        • Ricardo: Dave Shemmans
        • Ricardo: Marques McCammon
      • Publishing Partners
        • Allstate: Want more from your F&I?
        • Ally: Navigating the future of automotive retailing
        • Amazon Web Services: Any place, any time, any channel
        • Amazon Web Services: The power of the cloud
        • Amazon Web Services: Universal translator: Harnessing sensor data to build better automotive software
        • Capital One Auto: Dealerships remain vital to an increasingly digital car shopping journey
        • DealerSocket: 5 steps to modernizing the buyer's journey
        • Epic Games: Real-time tech is the next frontier of automotive
        • Epic Games: Transforming the auto industry with digital assets
        • FTI Consulting: Crisis as a catalyst for change
        • Google: 5 trends shaping the auto industry's approach to a new normal
        • Google: Google's dealer guidebook helps dealers navigate today's digital landscape
        • IHS Markit: Automotive loyalty in the wake of the COVID-19 recession
        • IHS Markit: COVID-19: The future mobility delusion
        • Level5: 2020 Automotive E-Commerce Report
        • Motormindz: Toward hyperconnectivity: 5 ways to position your business to profit from connected car
        • Naked Lime: Bring social reputation together as part of big-picture marketing
        • Wells Fargo Auto: Switching gears from LIBOR to SOFR
        • Ally: Do It Right
        • DealerSocket
        • Deloitte: Cyber everywhere: Preparing for automotive safety in the face of cyber threats
        • Facebook: The road to a zero-friction future
        • Guide To Economic Development
        • PayPal Credit: How consumer financing helps drive sales for online auto parts retailers
      • Classifieds
      • Companies on the Move
      • People on the Move
      • Newsletters
      • Contact Us
      • Media Kit
      • RSS Feeds