STOCKHOLM/PARIS, Sept 3 (Reuters): Mercedes-Benz is set to unveil its much-anticipated electric SUV on Tuesday, marking the start of a German onslaught against Tesla's dominance of the fast-growing market for premium battery cars.
Daimler-owned Mercedes, BMW and Volkswagen's Audi and Porsche divisions are all gunning for the $52 billion Californian upstart, with early publicity efforts emulating its tech-industry halo.
The market for upscale electric cars is Tesla's to lose, with sales of its entry-level Model 3 sedan expected to reach about 50,000 cars this year and almost double that in 2019.
The Mercedes EQC - whose launch program in Stockholm features yoga in a direct appeal to the Millennials who have flocked to Tesla - is the first production model under the carmaker's electric EQ sub-brand. It will be closely followed by similarly hyped debuts for BMW and Audi.
"While Tesla currently has a strong hold on the luxury electric market, I don't think this will be the case after the arrival of the German premium offerings," said Wajih Hossenally, an automotive powertrain analyst with IHS Markit.
"Tesla has virtually zero competition - but this will change from 2019 onwards."
Rival forecaster LMC Automotive agrees, predicting a steady decline in Tesla's share of an exploding electric-car market over the next decade, from today's 12.3 per cent to 2.8 per cent, even as its absolute sales continue to rise.
Electric Mercedes opens German assault on Tesla
FE Team | Published: September 03, 2018 23:30:03
Electric Mercedes opens German assault on Tesla
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