Mercedes ignores e-Fuels, convinced that the electric motor will outperform the combustion engine

A few weeks ago, Europe bowed to pressure from Germany and other countries by adding an exception to the ban on the sale of new combustion engine cars in Europe from 2035 , allowing the sale of ' e-Fuels or synthetic fuels .

Since then, discussions have been dominated by e-Fuels, as several manufacturers have announced their intention to use this "green gasoline" in the future.

Companies such as Porsche, Toyota and the Stellantis Group recognize the importance of electric cars, but other companies such as Mercedes-Benz , whose CEO is Ola Källenius , deny this trend and have recently pointed out that the future belongs to electric cars.

80% less investment in combustion engines in 2026

E -Fuels have received European approval , offering a glimmer of hope for combustion engines. Although this opportunity may be even greater in the short term as more and more manufacturers are interested in synthetic fuels.

Porsche even opened a factory in Chile to produce them ahead of Europe's announcement, while Stellantis began testing e-Fuels in 28 engine types dating back to 2014, with the intention of using them not only in future models, but also in those already in circulation. Toyota is also testing an e-Fuel that promises to be 75% cleaner than gasoline.

However, none of these manufacturers are giving up on the development of electric cars because of e-Fuels. Rather, it is about providing multiple options for a multi-energy future in the automotive industry.

Mercedes-Benz CEO Ola Källenius claimed in an interview with German newspaper Frankfurter Allgemeine Zeitung that the brand does not believe in the future of e-Fuels in its future product line.

Although Källenius also touched on some of the challenges facing electric cars, such as improving charging infrastructure, green electricity generation and the cost of lithium, which he calls "new oil", he clearly indicated that the future of Mercedes rests on electric propulsion.

According to him, the strategy of the brand is clearly focused on electric cars, and this will not change due to recent decisions on synthetic fuels.

To clarify, Källenius says that all platforms developed by Mercedes from 2025 will be exclusively for electric cars, but he acknowledges that e-Fuels could be useful for continuing to use existing internal combustion cars in the future.

However, he does not see a future for synthetic fuels in the longer term and prefers to focus on electric motors. German media asked for a justification for the decision and the Mercedes CEO highlighted the sensational efficiency of electric cars and added that he still saw great potential for progress, with the electric motor overtaking the internal combustion engine in terms performance before the end of this decade.

In addition, Källenius highlights that even if Mercedes has to design a combustion engine in compliance with the new Euro7 emission regulations by 2026 , this will lead to a significant reduction in investment of around 80% in this technology.

In this interview, the CEO of Mercedes also pointed out that the brand operates in the luxury segment and that the transition to electric mobility will be faster for this market than for the general market.