The company, which today launched the petrol variant of its best selling SUV in India GLE 400 priced at Rs 74.90 lakh (ex-showroom Delhi), expects sales of the petrol vehicles to go up to 30 per cent of its overall sales from the current 20 per cent.
After the Supreme Court lifted ban on sales of diesel cars and SUVs with engine size of 2,000 cc or above in Delhi- NCR subject to 1 per cent environment compensation charge (rpt) charge (ECC), Mercedes-Benz said has it decided not to pass the burden to its customers and will absorb it.
Stating that the company has seen the share of its petrol portfolio rising constantly, he said the introduction of the GLE 400 will contribute to that.
"The ratio of diesel and petrol in Mercedes-Benz's portfolio earlier was 80:20 and currently with the introduction of more petrol variants we expect petrol's share to rise up to 30 per cent of our total sales," Folger said.
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Commenting on the lifting of ban on big diesel cars and SUVs, Folger said: "We are glad that there is some clarity, though interim, on the subject. This gives us confidence that growth will be back in the sector based on the positive sentiment that came from the decision. We have also decided not to pass on the 1 per cent ECC to our customers and we will absorb it."
He further said Mercedes-Benz believes that the introduction of the BS VI fuel is the best viable option to curb emission.
On the significance of the petrol GLE 400, he said: "With a growing penchant for SUVs among customers, we believe the introduction of the petrol version will further bolster our presence in the luxury SUV segment. For the first time, we are introducing the GLE with a petrol mill and this underscores our strategy of offering the right product for our growing customer base.
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