Hyundai's Ioniq 5 was named World Car of the Year, besting two other electric crossovers for the award.

Mercedes, which did not disclose the location of Envision's new U.S. cell factory, also flipped the switch on a new battery assembly plant located on 270 acres near its vehicle factory.

Mercedes-Benz expects electric vehicles to account for about half its U.S. sales by 2030.

Mercedes has set the stage for the mass production of luxury electric vehicles in the U.S. And its massive Alabama plant will be key in taking the fight to EV kingpin Tesla.

CEO Ola Källenius, speaking during the company's opening of its first U.S. EV battery factory, also affirmed the company's 2022 financial outlook remained in place despite the conflict.

Suppliers representing 90 percent of the automaker's purchasing volume will supply CO2-neutral parts.