New Delhi: Mercedes-Benz India is targeting triple-digit annual volumes for the recently launched V-Class as they move into the luxury MPV segment. The model is priced at Rs 1.4 crore and will be available first-come, first-served as a completely built unit (CBU) before moving to the local assembly in Pune in the latter part of this year. 

Santosh Iyer, CEO and Managing Director, Mercedes-Benz India, noted that the aim for the V-Class is to expand the luxury market rather than pursue volumes. He added, “There is a clear white space in the van market,” and that the brand expects “certain triple-digit volumes” once the model stabilises, which in turn makes a case for localisation.

Mercedes had last brought the V-Class in India in 2019, but Iyer noted that the segment wasn’t mature back in the day. The new model comes with more setup for the Indian market, and they have targeted it in the price bracket, placed at Rs 1.5 crore and with localisation, it is expected to go down to Rs 1.4 crore. Of course, the brand is aware that it won’t be the main car for a family but rather something of a second fiddle to the main cars in the families, suited for things like “weekend travel or work on the move”.

If completely imported, the V-Class would be priced at pricing of Rs 2 crore. Local assembly is intended to maintain a more competitive pricing and support sustainable volumes. In the Indian market, it will sit between the Toyota Vellfire and the Lexus LM in the luxury MPV segment. 

The V-Class is part of a bigger push from Mercedes

Mercedes V-Class will help grow the brand’s premium segment as well

The coming of the V-Class is in line with Mercedes-Benz’s push to expand their top-end offerings in the country. At present, premium models account for roughly 25 per cent of the brand’s total sales in the country, with this segment registering an 11 per cent increase in the previous year.

In 2025, the company reported total sales of 19,007 units, marking a slight decline of about 2 per cent compared to the previous year. Despite the slight dip in volumes, Mercedes achieved their highest-ever revenue in India, coming from the more premium product mix that has lifted the average transaction value. Earlier, Iyer had said that the brand’s average selling price has climbed to about Rs 1 crore, reflecting the growing contribution of higher-end vehicles.

For the future, Mercedes is projecting modest single-digit growth and has outlined plans to bring 12 new models in both internal combustion and electric powertrains. The upcoming launches will largely concentrate on strengthening its core lineup as well as its high-end portfolio.