
German automaker anchors Southeast Asian growth in Thailand with locally produced S-Class and Maybach, defying import tariffs via local assembly investments.
German luxury automaker Mercedes-Benz has strongly reaffirmed its long-term strategic commitment to using Thailand as a key regional production hub and pillar for its Southeast Asian business, using the domestic launch of its newest top-end luxury sedans to highlight the critical role local manufacturing plays in its global operations.
At an exclusive press preview on the evening of 5 November, preceding the official market release on 6 November, senior global and regional executives outlined how local production capabilities shield the brand from shifting tax landscapes while serving as an engine for electrified transformation across the region.
The event was attended by Industry Minister Varawut Silpa-archa, who voiced strong government backing for Mercedes-Benz's manufacturing presence in the Kingdom.
Speaking from a global operational perspective, Mathias Geisen, Member of the Board of Management of Mercedes-Benz Group AG overseeing Sales & Customer Experience, emphasised that Southeast Asia remains central to the company’s worldwide strategy.
"If you want to run the business worldwide, you have to ensure growth across all markets. This region has always been crucial, with sales established for decades," Geisen noted, adding that Mercedes-Benz is currently navigating the largest product rollout in its history, introducing over 40 new models within two and a half years to give global consumers a flexible choice of advanced powertrains.
Reinforcing the regional focus, Martin Schulz, CEO and President of Mercedes-Benz Malaysia and Head of Region for Mercedes-Benz Cars Southeast Asia, offered a highly optimistic outlook for the regional luxury market.
Schulz, who now oversees a consolidated Southeast Asian cluster spanning Thailand, Malaysia, Vietnam, Singapore, and general distribution markets, emphasised that local assembly remains the brand's primary competitive advantage.
Addressing recent regulatory adjustments in Thailand—including a proposed 35 per cent excise duty structure on imported electric vehicles—Schulz stated that Mercedes-Benz remains largely insulated due to its extensive local assembly strategy in partnership with Thonburi Automotive Assembly Plant Co., Ltd.
"It reaffirms that our commitment to local production is the right strategy," Schulz said.
He noted that while Singapore leads the region in electric vehicle adoption rate, Thailand is following closely behind with battery electric vehicles (BEVs) comprising 25 to 30 per cent of local manufacturing output, whereas Malaysia is experiencing rapid acceleration from a lower base.
Schulz also welcomed growing industry competition across Southeast Asia, noting that market pressure "keeps us on our tracks and active."
He reassured Thai buyers that adequate allocation has been secured for popular imported and locally built models to meet sustained high demand despite global capacity constraints.
The commitment to Thailand’s industrial base was showcased through the official launch of two locally assembled flagship models: the new S-Class and the ultra-luxury Mercedes-Maybach S-Class.
The locally produced S-Class is offered at an identical starting price of THB 7.19 million for both the S 350 d 4MATIC turbocharged diesel and the S 580 e 4MATIC plug-in hybrid (PHEV).
The plug-in hybrid variant features a 21.96 kWh battery offering up to 100 kilometres of pure electric range under WLTP testing.
At the absolute peak of automotive luxury, the locally assembled Mercedes-Maybach S 580 e plug-in hybrid starts at THB 9.9 million, reaching THB 10.9 million for the optional two-tone exterior finish.
The model integrates the proprietary Mercedes-Benz Operating System (MB.OS) alongside an AI-driven MBUX Virtual Assistant.
Christian Schell, president and CEO of Mercedes-Benz (Thailand) Limited, stated that offering both traditional combustion and advanced plug-in powertrains at identical price points provides Thai customers with complete freedom of choice without compromising on luxury.
Both flagship vehicles are now available through the brand's nationwide agent network across Thailand.