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News

2027 Mercedes-Benz GLA Enters Production in Rastatt With New Hybrid and Electric Powertrains

Mercedes-Benz has officially started series production of the new-generation GLA at its Rastatt plant in Germany, marking another major step in the company’s transformation of its compact vehicle production network. The new GLA is being manufactured alongside its fully electric counterpart, while advanced hybrid versions using 48-volt technology are scheduled to join production later in 2026.

The latest GLA represents more than a new addition to Mercedes-Benz’s compact SUV lineup. It is also a showcase for the company’s increasingly digital manufacturing strategy, combining flexible production systems, artificial intelligence, digital twins and the Mercedes-Benz Operating System, or MB.OS.

New Mercedes-Benz GLA production begins in Rastatt

The Mercedes-Benz Rastatt plant has been producing compact models since 1992 and has become one of the company’s most important manufacturing locations for vehicles in this segment.

Around 7,000 people work at the site, making it the largest employer in the surrounding region. The plant is designed around a flexible production philosophy, allowing vehicles with different propulsion technologies to be built on the same production line.

That capability is particularly important as Mercedes-Benz continues to transition between combustion engines, hybrids and fully electric vehicles.

The new GLA is currently being produced in Assembly Hall 4.0. Mercedes-Benz plans to move production of the model into the neighbouring Assembly Hall 4.1 from 2027, with the company investing a low-three-digit-million-euro sum in the conversion.

Michael Schiebe, Mercedes-Benz board member responsible for Production, Quality and Supply Chain Management, said the launch reinforces Rastatt’s importance within the company’s global production network.

He also highlighted the increasing role of digital technologies, with MB.OS, artificial intelligence and the company’s MO360 production ecosystem integrated into the manufacturing process.

Mercedes-Benz GLA production uses digital twins

One of the most interesting aspects of the Rastatt transformation is Mercedes-Benz’s use of digital twins.

Before physical construction work begins, engineers can recreate production facilities and manufacturing processes in a highly detailed virtual environment. This allows the company to simulate production lines, identify potential problems and optimise processes before equipment is installed.

Mercedes-Benz says the technology has already helped accelerate the conversion of Assembly Hall 4.0, which was completed in record time in 2023.

The same approach is now being used for Assembly Hall 4.1, with the goal of reducing both construction time and costs.

For Mercedes-Benz, digital manufacturing is becoming increasingly important as vehicle architectures become more complex and production must accommodate several powertrain technologies simultaneously.

New GLA combines electric and hybrid production

The new Mercedes-Benz GLA is being introduced with multiple propulsion technologies, reinforcing the company’s strategy of maintaining flexibility during the transition toward electrification.

The fully electric GLA is already in production at Rastatt, while hybrid versions equipped with 48-volt technology and a new-generation internal-combustion engine will follow later this year.

Building different versions of the same model on a common production line gives Mercedes-Benz greater flexibility when responding to changes in customer demand.

Instead of dedicating an entire factory exclusively to electric vehicles or combustion-powered models, Rastatt can adjust its production mix according to market requirements.

That flexibility is becoming increasingly valuable as the global automotive industry moves through a period in which electric vehicles, hybrids and combustion engines continue to coexist.

MB.OS brings software deeper into GLA production

Software is another major component of the new GLA.

Mercedes-Benz is integrating its MB.OS operating system into the vehicle from the production stage. The company describes MB.OS as a chip-to-cloud architecture designed to simplify the vehicle’s electronic and software infrastructure.

Rather than relying on numerous individual hardware modules for software distribution, the system uses a central server in the Mercedes-Benz Intelligent Cloud.

This approach means vehicles can leave the production line with the latest available software and provides the technological foundation for future software updates and digital services.

The new GLA also introduces advanced interaction technology, including the MBUX Virtual Assistant with generative artificial intelligence.

The objective is to make interaction with the vehicle more natural, allowing occupants to communicate with the car using conversational language rather than relying exclusively on conventional menu structures and commands.

Mercedes-Benz GLA electric components come from Germany

Although final assembly takes place in Rastatt, the new GLA is the product of a broader Mercedes-Benz manufacturing network across Germany.

Electric drive units and axles are supplied by the company’s Untertürkheim operations, including production sites in Mettingen and Hedelfingen.

An electric drive unit incorporates three fundamental elements: an electric motor, power electronics and the transmission system responsible for transferring power to the wheels.

Mettingen is also responsible for assembling complete electric axles, which are then delivered to Rastatt for vehicle production.

The high-voltage batteries are supplied by Mercedes-Benz subsidiary Accumotive from Kamenz in Saxony.

Accumotive has more than a decade of experience in battery manufacturing and is described by Mercedes-Benz as one of the company’s centres of excellence for high-voltage battery systems.

The company operates within Mercedes-Benz’s wider global battery production network, which spans three continents.

Kuppenheim supplies body components for the new GLA

Another important link in the GLA production chain is located just 10 kilometres from Rastatt.

The Mercedes-Benz Kuppenheim site has supplied body-in-white components, structural components and body parts to Rastatt since 2009. It is now also supporting production of the new GLA.

Since the beginning of 2026, Rastatt and Kuppenheim have been more closely integrated from an organisational perspective, with Kuppenheim becoming part of the Mercedes-Benz Rastatt plant.

The closer connection between the two sites is designed to strengthen production efficiency and coordination.

New Mercedes-Benz GLA gets a sportier design

Beyond its manufacturing technology, the new Mercedes-Benz GLA brings a substantially revised exterior and interior design.

The latest model adopts a lower silhouette and longer wheelbase, giving the compact SUV a sportier stance. One of its most distinctive elements is the illuminated Mercedes-Benz grille, which gives the front end a more recognisable appearance, particularly at night.

Mercedes-Benz has also redesigned the interior around increased digitalisation and improved practicality.

A large MBUX Superscreen dominates the dashboard, while higher-quality materials and a redesigned cabin aim to increase the perceived sophistication of the compact SUV.

The available panoramic roof adds to the feeling of space, while the longer wheelbase is intended to improve interior room and everyday versatility.

MBUX Virtual Assistant adds generative AI

The new GLA is also part of Mercedes-Benz’s broader move toward artificial intelligence inside the vehicle.

The MBUX Virtual Assistant incorporates generative AI technology to provide more natural interaction between driver and vehicle.

Instead of requiring drivers to navigate through conventional menus, the system is designed to understand more conversational requests and provide personalised assistance.

This represents another step in the evolution of Mercedes-Benz’s MBUX infotainment system, with software increasingly becoming as important to the vehicle experience as traditional mechanical hardware.

Rastatt becomes a key Mercedes-Benz compact-car hub

The launch of the new GLA further strengthens Rastatt’s position within Mercedes-Benz’s global production network.

The plant is now producing vehicles based on the company’s latest generation of technology while simultaneously supporting multiple propulsion concepts.

That combination of flexible manufacturing, digital production technologies and vertically integrated component supply is becoming increasingly important for Mercedes-Benz as the company adapts to changing global demand.

The ability to produce electric, hybrid and conventional vehicles within the same manufacturing environment gives Rastatt a significant degree of operational flexibility.

For the employees at the site, the GLA launch also represents a major investment in the plant’s future.

Torsten Höink, Chair of the Works Council at Mercedes-Benz Rastatt, described the start of production as an important new chapter for the facility and emphasised the role of innovation, expertise and teamwork in its long-term development.

The new GLA marks a new era for Mercedes-Benz

The start of production of the new Mercedes-Benz GLA is significant for reasons that extend well beyond the compact SUV itself.

It demonstrates how Mercedes-Benz is reshaping its manufacturing operations around a mixed powertrain strategy while simultaneously increasing the importance of software, artificial intelligence and digitally managed production.

With electric, hybrid and conventional technologies being accommodated within a flexible manufacturing environment, the Rastatt plant is effectively being prepared for an automotive market that remains in transition.

At the same time, the new GLA itself moves further into the digital era with MB.OS, the MBUX Superscreen and a generative-AI-powered virtual assistant, while its redesigned exterior and interior give Mercedes-Benz’s compact SUV a more distinctive and sophisticated character.

As production expands into Assembly Hall 4.1 from 2027, the GLA will become an even more important part of Rastatt’s next chapter — and another example of how Mercedes-Benz is combining traditional German manufacturing expertise with software-driven vehicle technology.

Source: Mercedes-Benz

News

McLaren Artura and GTS to Be Retired by 2028

McLaren is preparing for one of the biggest transformations in its modern history, with the Artura and GTS set to leave production over the next two years as the British supercar manufacturer prepares an expanded new-generation lineup.

The planned changes follow McLaren’s recently announced £500 million investment strategy, which is designed to accelerate the development of new models, powertrains and technologies. According to reports, two of the company’s three core production models will be phased out by the end of 2028.

The first to disappear will be the McLaren GTS, with production expected to wind down during 2027.

McLaren GTS Heads for Retirement

The GTS arrived in 2019 as McLaren’s answer to the growing demand for a more comfortable and spacious alternative to its hardcore mid-engine supercars. Built around a carbonfibre structure and powered by a twin-turbocharged V8, the two-seat grand tourer combined McLaren’s performance-focused engineering with greater everyday usability.

The GTS has occupied a different niche from McLaren’s traditional supercars, competing with models such as the Aston Martin DB12 and Ferrari Amalfi.

However, its successor could take McLaren in a significantly different direction.

The company has yet to reveal the precise composition of its future model range, but the front-engined architecture being developed for McLaren’s upcoming SUV could potentially underpin additional vehicles.

That raises the possibility of a future four-seat grand tourer with a more conventional front-engine layout, potentially giving McLaren a rival to cars such as the Bentley Continental GT.

Such a model would represent a significant expansion of McLaren’s product philosophy while allowing the company to move beyond the two-seat configuration that has defined much of its road-car history.

McLaren Artura Will Follow in 2028

The second major model scheduled to leave production is the McLaren Artura.

The V6 plug-in hybrid supercar is expected to remain in production until 2028, approximately six years after its original launch.

The Artura was conceived as McLaren’s response to the Ferrari 296 and represented a major technological step for the company. Its 3.0-liter twin-turbocharged V6 was paired with an electric motor and battery system, giving McLaren a combination of internal-combustion performance and electrification.

Its introduction, however, was far from straightforward.

Development problems delayed the Artura’s launch, while the global semiconductor shortage created additional challenges for production. McLaren subsequently introduced a series of technical improvements and software updates that transformed the car into a highly capable and competitive hybrid supercar.

Today, the Artura is regarded as one of the strongest performers in its segment and has become an important contributor to McLaren’s production volumes.

Although McLaren does not publish sales figures for individual models, the Artura is understood to sell in broadly similar numbers to the V8-powered 750S.

The end of Artura production therefore represents more than the retirement of a single model. It marks the conclusion of McLaren’s first major modern attempt to combine a compact combustion engine with hybrid technology in a series-production supercar.

A New McLaren Supercar Is Already Taking Shape

McLaren has not officially confirmed a direct successor to the Artura, but the company has made it clear that two-seat, rear-engined supercars will remain central to its future lineup.

The manufacturer is also developing two bespoke hybrid powertrains for its next generation of supercars.

That could allow McLaren to move beyond the traditional V6 and V8 engine configurations that have defined its current range.

McLaren COO Michael Straughan has suggested that developing its own engines gives the company greater freedom when deciding what powertrains will be used in future models.

That flexibility could become increasingly important as McLaren attempts to balance electrification, emissions regulations and the performance expectations of its customers.

Reports have already suggested that one future McLaren supercar could arrive by 2028 with a twin-turbocharged hybrid V6 producing approximately 800 lb-ft of torque.

If accurate, that would give the new car substantially more torque than the current Artura.

The reported starting price is also expected to rise significantly, potentially reaching around £230,000—approximately £30,000 more than the Artura.

However, McLaren has not officially confirmed the model, its specifications or whether it will serve as a direct Artura replacement.

The 750S Is Also Approaching the End

While the Artura and GTS have defined two important areas of McLaren’s current range, the 750S is also approaching the end of its production cycle.

The V8-powered supercar remains available to order, but its roots stretch back nearly a decade to the 720S, which itself evolved into the 750S with additional power and extensive performance upgrades.

McLaren has not announced a specific production end date for the 750S.

However, the introduction of the limited-production 788HS provides a strong indication that the current-generation V8 supercar is approaching its final chapter.

Developed as a hardcore, track-focused special edition, the 788HS combines the extreme performance expected from McLaren with the exclusivity normally associated with a model’s final production phase.

That suggests the 750S may not remain in production deep into 2027.

A New Era for McLaren

The retirement of the GTS, Artura and eventually the 750S would leave McLaren with a dramatically different lineup compared with the one it sells today.

At the same time, the company is preparing to expand beyond its traditional two-seat supercars. Its forthcoming SUV will introduce McLaren to an entirely new segment, while the development of new front-engined and hybrid architectures could create opportunities for additional models.

The most significant change, however, may be underneath the bodywork.

McLaren’s decision to develop bespoke hybrid powertrains indicates that electrification will play a central role in its next generation of performance cars without necessarily replacing the internal-combustion engine altogether.

For enthusiasts, that could mean the next generation of McLaren supercars will continue to combine high-revving combustion engines with electric assistance, but with significantly greater flexibility in engine configuration and vehicle layout.

The Artura’s retirement in 2028 would therefore be less of an ending than a transition point.

McLaren is effectively closing one chapter of its modern product strategy while preparing a broader lineup designed to compete in more segments and operate with a wider range of powertrain technologies.

With the GTS expected to disappear first, followed by the Artura and eventually the 750S, McLaren’s current model family is entering its final phase.

What replaces these cars—and how far McLaren expands beyond the traditional two-seat supercar—will determine the shape of the British manufacturer’s next decade.

Source: McLaren

News

Volvo Plans 13 New Cars by 2030, Including Saloons and Estates

Volvo is preparing the biggest product expansion in its history, with the Swedish premium automaker planning to launch 13 new cars by the end of 2030. The ambitious programme will include a combination of electric vehicles, plug-in hybrids and conventional hybrids, while marking a significant return to body styles that helped define Volvo for decades.

The new Volvo models will be developed specifically for different regions, with separate product strategies for Western markets and China. The company says this regionalised approach will allow it to respond more effectively to differences in customer preferences, electrification rates, technology requirements and trade regulations.

Perhaps the biggest surprise is Volvo’s confirmation that its future European range will include both high-body vehicles such as SUVs and low-body models, including saloons and estates.

Volvo’s biggest-ever product offensive

Volvo says it will introduce 13 new vehicles globally between now and the end of 2030, describing the programme as the “largest and most ambitious” range expansion in the company’s history.

Seven of the new models will be developed for Western markets, including Europe and the United States. These vehicles will use Volvo’s existing SPA2 and SPA3 architectures and the company’s HuginCore computing platform.

The remaining six models will be designed specifically for the Chinese market. Those vehicles will be developed in cooperation with Volvo’s parent company Geely and will use shared platforms and a dedicated Chinese technology stack.

Volvo has not yet revealed the complete list of upcoming models, but the company has provided enough information to indicate a major change in direction.

Volvo is bringing back saloons and estates

The most significant development for European buyers could be Volvo’s renewed commitment to low-body vehicles.

While SUVs have become increasingly dominant across the premium market, Volvo says its European portfolio will include a “full BEV line-up” by 2030, featuring both new high-body and low-body models.

In Volvo’s terminology, high-body vehicles include SUVs, while low-body vehicles encompass saloons and estates.

That suggests the company is preparing new electric Volvo saloons and estates alongside its expanding SUV range.

The move would represent a return to an area where Volvo has traditionally been particularly strong. Models such as the Volvo 240 estate, V70 and V90 helped establish the company’s reputation for practical, stylish family cars, while the S60 and S90 have continued its presence in the premium saloon segment.

The new generation of models could therefore combine Volvo’s traditional body styles with the company’s increasingly electric technology.

Volvo’s future cars will use multiple powertrains

Although Volvo has previously committed heavily to electrification, the company is acknowledging that customers and markets are moving towards electric vehicles at different speeds.

Alexander Petrofski, Volvo’s technology chief, said European countries are electrifying at different rates. As a result, the company expects individual models to be available with battery-electric, plug-in hybrid and hybrid powertrains.

This means Volvo’s future range will not necessarily follow a one-powertrain-fits-all strategy.

Instead, the same basic vehicle could potentially be adapted to different markets with different propulsion systems, allowing Volvo to respond to local demand without developing entirely separate vehicle architectures.

For European customers, Volvo says its objective remains a complete battery-electric vehicle line-up by 2030. However, the company is also investing in a new third-generation hybrid system for customers who are not yet ready to switch to a fully electric vehicle.

New Volvo electric SUVs and saloons

Volvo’s existing SPA2 architecture currently supports models such as the EX90 large electric SUV and ES90 electric saloon, while the newer SPA3 architecture is used by the EX60.

The upcoming vehicles will build on these platforms rather than requiring Volvo to develop completely new architectures for every model.

This approach is expected to reduce development costs and shorten the time required to bring new vehicles to market.

Among the planned Western-market products will be models specifically targeted at the United States, including a new D-segment electric SUV. Other vehicles will be developed with European customers and market conditions in mind.

Volvo has not yet confirmed whether all of the future models will receive unique names or whether some will represent new generations of existing vehicles.

Six new Volvo models planned specifically for China

China will receive its own product strategy, with six new Volvo models planned specifically for the market.

The vehicles will be developed in collaboration with Geely and will use shared platforms as well as a dedicated Chinese technology stack.

Volvo already has experience with China-specific products. The EM90 electric MPV, for example, is offered exclusively in China and reflects the importance of regional product development in the world’s largest car market.

Volvo says the differences between regions are becoming increasingly important because of trade tariffs, technology restrictions and changing customer preferences.

Rather than viewing those differences solely as a challenge, the company intends to turn regionalisation into a competitive advantage.

Volvo wants to double its BEV market share

Electric vehicles remain a central part of Volvo’s long-term strategy.

The company says it wants to double its market share in the full-BEV segment, while simultaneously maintaining a strong offering for customers who prefer hybrid technology.

Volvo has already increased the electric capability of its plug-in hybrid models. The latest XC90 and XC60 plug-in hybrids feature substantially larger batteries, allowing them to travel up to 124 miles with the combustion engine switched off.

That gives Volvo’s plug-in hybrids one of the longest electric-only driving ranges among PHEVs currently available.

The strategy suggests Volvo sees hybrids as an important bridge technology rather than simply a temporary solution. The company expects some customers to remain hesitant about fully electric vehicles well into the next decade.

A new era of Volvo design

The 13 new models will also introduce what Volvo describes as the “next era of design”.

The company’s design direction is now being led by Thomas Ingenlath, who has returned to Volvo after previously serving as the chief executive of Polestar.

That could result in a noticeable evolution of Volvo’s visual identity during the second half of the decade.

The current Volvo design language, characterised by the Thor’s Hammer lighting signature, minimalist interiors and strong Scandinavian influences, has already helped differentiate the brand from German premium competitors.

The next generation is expected to build on those themes while adapting them to a wider range of electric and hybrid vehicles.

Volvo chief executive Håkan Samuelsson has already warned that the company’s showrooms will look very different by 2030.

“This is our strongest product pipeline ever, tailored to regional needs,” Samuelsson said, adding that the strategy underlines Volvo’s ambition to become the leading premium car brand.

Existing platforms should reduce development costs

Despite the enormous number of planned launches, Volvo says the investment required will be lower than it would have been if the company had developed entirely new architectures for every model.

Using the existing SPA2 and SPA3 platforms will allow Volvo to spread development costs across a larger number of vehicles.

The strategy is also intended to support the company’s financial ambitions, including its goal of pushing EBIT, or operating profit, beyond 8%.

For Volvo, the challenge will be balancing the cost advantages of shared architectures with the need to make each new model sufficiently distinctive in an increasingly competitive premium market.

Volvo promises simpler pricing and faster delivery

The product expansion will also be accompanied by a new business model.

Volvo says it will focus on “simplicity, transparency and precision”, including transparent pricing and a range of vehicles configured for fast delivery.

That could represent a significant change in the way Volvo sells its cars.

Instead of relying heavily on complex configurations and long waiting periods, the company intends to make its pricing structure easier to understand while ensuring that selected vehicles are available for quicker delivery.

The approach reflects a wider shift across the automotive industry towards simplified vehicle specifications, online sales and more transparent pricing.

Source: Volvo