Visakhapatnam: Mercedes-Benz has reported a significantly higher growth rate in Andhra Pradesh compared to its national performance in India. While the company recorded nearly 3% growth nationally in 2025, it posted almost 13% growth in Andhra Pradesh. In the high-end luxury segment, the state registered a 30% growth rate compared to about 20% nationally, according to Brendon Sissing, Vice-President (Sales and Marketing) of Mercedes-Benz India.
New Showroom and EV Launch in Visakhapatnam
The German luxury automotive manufacturer inaugurated its first showroom in Visakhapatnam on Monday. It also unveiled the new CLA battery electric vehicle in the city. Speaking to the media after the launch, Sissing highlighted the brand's electric vehicle penetration, which accounted for 7% of its overall vehicle sales in India, while the figure stood at nearly 13% in Andhra Pradesh.
Strong Regional Performance
“What we see in Andhra Pradesh is a different story from what we see nationally. Nationally, our year-on-year growth was around 3%, whereas in Andhra Pradesh we recorded double-digit growth of 13%. This has drawn greater attention from us and was one of the reasons for further investment in the region. We are proud to be expanding our footprint beyond the major metros and moving closer to customers. We are seeing strong growth in sectors such as ports, exports, IT, construction and real estate in Andhra Pradesh, and that could be the reason for the increased sales of Benz cars,” he added.
Market Leadership and Sales Figures
Sissing said the company retained its position as the country’s leading luxury automotive brand, selling 19,363 vehicles during the 2025-26 financial year. “Our first quarter also ended with robust growth, even as the overall luxury segment witnessed a decline,” he said.
Retail of the Future Model
Sissing explained the “Retail of the Future” model, under which vehicle invoicing and transactions are directly handled by Mercedes-Benz to ensure transparent and uniform pricing for customers. Mercedes-Benz globally plans to introduce around 40-42 new vehicles over the next two years. The company currently offers four electric vehicle models in India, including the CLA, EQG and EQS range. Andhra Pradesh’s zero GST policy on electric vehicles could further boost EV adoption in the state,” added the vice president.
