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

New Lancia Gamma Brings Italian Design and Engineering Back Into the Spotlight

The new Lancia Gamma has taken another important step toward its market arrival, with the latest generation of Lancia’s flagship model presented at Italy’s Ministry of Enterprises and Made in Italy. The institutional event highlighted not only the importance of Gamma for Lancia’s product strategy, but also the continuing role of Italian design, engineering and manufacturing within Stellantis.

The presentation brought together Adolfo Urso, Italy’s Minister of Enterprises and Made in Italy, Vito Bardi, President of the Basilicata Region, Emanuele Cappellano, Stellantis Enlarged Europe COO, and Antonella Bruno, Managing Director of Stellantis Italy.

For Lancia, however, the new Gamma represents more than another addition to its lineup. The 4.67-meter fastback crossover is intended to return the historic Italian brand to an important segment of the European market while expanding its customer base beyond the smaller Ypsilon.

Lancia Gamma is an Italian-designed, Italian-built model

One of the most important aspects of the new Lancia Gamma is its strong Italian industrial identity.

The model was designed in Turin at the Lancia Design Center under the leadership of Gianni Colonello, Head of Lancia Design. Vehicle development and industrialization were also carried out in Italy, before production moved to Stellantis’ Melfi plant in Basilicata.

The project therefore connects several important parts of Italy’s automotive industry, from designers and engineers to technicians, factory employees and component suppliers.

Approximately 30 Italian suppliers are involved in the Gamma project, with around 10 of them located in Basilicata. That creates a direct connection between the vehicle, the Melfi production facility and the surrounding regional supply chain.

The result is a model that Stellantis sees as an example of how Italian industrial expertise can be transformed into a vehicle designed for international markets.

Emanuele Cappellano, Stellantis Enlarged Europe COO, described Gamma as tangible evidence of Italy’s continuing importance to the company’s industrial strategy.

He also pointed to the wider challenges facing European vehicle manufacturers, particularly the need for policies that support competitiveness, compact vehicles and light commercial vehicles.

Lancia Gamma joins Jeep Compass and DS models at Melfi

The arrival of the new Lancia Gamma further strengthens the strategic importance of the Melfi plant.

The facility is also responsible for producing models including the Jeep Compass, DS N°8 and DS N°7, creating a diverse portfolio of vehicles aimed at international markets.

For Stellantis, Melfi represents an important manufacturing asset because of its combination of production expertise, technology and established industrial infrastructure.

Gamma adds another premium-oriented European product to the plant’s portfolio while simultaneously giving Lancia a significantly larger vehicle than the Ypsilon.

The production strategy also reinforces the relationship between Lancia and its home market. Italy remains the brand’s core market, but Gamma has been developed with broader European ambitions.

New Lancia Gamma expands the brand’s product strategy

The new Gamma arrives at a particularly important moment for Lancia.

Following the introduction of the new Ypsilon and the revival of the legendary HF performance badge, Gamma represents the next major stage in the brand’s wider transformation.

Its 4.67-meter body places it firmly into a larger and highly competitive segment, while its fastback crossover silhouette gives Lancia an opportunity to combine traditional Italian design with the practicality expected from a modern European crossover.

The model is based on Stellantis’ STLA Medium platform, which allows Lancia to offer both hybrid and fully electric powertrains.

That flexibility is central to Gamma’s strategy. Rather than committing exclusively to battery-electric propulsion, Lancia will offer customers a choice between hybrid and electric versions.

Lancia Gamma hybrid promises more than 1,000 km of range

The hybrid version of the new Lancia Gamma will offer a total driving range of more than 1,000 kilometers.

That figure is particularly significant in a European market where many buyers remain interested in electrification but continue to place a high value on long-distance usability and refueling convenience.

At the other end of the range, the fully electric Gamma will offer up to approximately 740 kilometers of driving range, according to Lancia’s announced specifications.

The combination of hybrid and electric powertrains gives Gamma a broad technical proposition and allows the model to target both traditional customers transitioning toward electrification and buyers already prepared to move to a fully electric vehicle.

375-hp all-wheel-drive Lancia Gamma will lead the range

Performance will also play an important role in the Gamma lineup.

Lancia has confirmed that an all-wheel-drive version producing 375 hp will sit at the top of the range.

The specification gives Gamma a considerably more dynamic character than would normally be associated with a family-oriented crossover, while also creating a clear opportunity for Lancia to connect the new model with the brand’s renewed performance ambitions.

The return of the HF nameplate and Lancia’s renewed involvement in motorsport provide additional context for the development of the high-performance Gamma.

Gamma marks another milestone in Lancia’s 120-year history

The launch of Gamma also coincides with an important anniversary for Lancia.

The brand is celebrating its 120th anniversary, making the new model particularly significant as Lancia attempts to establish a new identity for the modern European market.

Antonella Bruno, Managing Director of Stellantis Italy, described Gamma as a fundamental milestone in Lancia’s evolution.

The model combines several elements that have traditionally defined the brand: Italian design, engineering, manufacturing expertise and an emphasis on creating distinctive automobiles.

For Lancia, the challenge now is to turn those qualities into commercial growth across Europe.

Can Lancia Gamma change the brand’s European fortunes?

Gamma has been conceived to substantially expand Lancia’s potential customer base.

While Ypsilon continues to serve as the brand’s smaller model, Gamma enters a considerably larger segment and is intended to appeal to both private buyers and business customers.

That broad customer strategy is important because Lancia’s future depends on becoming more than a primarily Italian-market brand.

Italy remains its home and core market, but the new Gamma has been developed with a clear European growth strategy. Its combination of fastback styling, electrified powertrains, long-range capability and available all-wheel drive gives Lancia a product designed to compete in one of Europe’s most strategically important vehicle categories.

The new Lancia Gamma is therefore much more than a new crossover. It represents a test of whether the historic Italian marque can successfully combine its design heritage with modern electrification, advanced Stellantis technology and a significantly broader European market strategy.

With production centered in Melfi, design originating in Turin and a supply chain involving dozens of Italian companies, Gamma also serves as a showcase for Italy’s continuing role in the European automotive industry.

If Lancia can translate Gamma’s distinctive design, broad powertrain lineup and premium positioning into strong customer demand, the model could become one of the most important products in the brand’s modern revival.

Source: Lancia

New Fiat Topolino Dolcevita Brings Open-Air Electric Driving to More Customers

FIAT is expanding its popular electric city-car family with the introduction of the new Fiat Topolino Dolcevita, bringing open-air driving to more customers while adding another distinctly Italian twist to the brand’s smallest electric model.

Until now, the opening soft-top roof was associated with the exclusive Topolino Vilebrequin Collector’s Edition. With the arrival of the new Topolino Dolcevita, however, that distinctive feature becomes part of the regular Topolino range, making the pleasure of open-air electric mobility considerably more accessible.

Inspired by the carefree spirit of the Italian Dolce Vita, the new Topolino Dolcevita combines the practicality of an enclosed vehicle with the freedom of an open-air driving experience. It is a simple formula, but one that fits the character of the Topolino perfectly.

Fiat Topolino Dolcevita adds an open-air twist

The biggest change for the new Fiat Topolino Dolcevita is, naturally, its opening soft-top roof. Rather than being limited to a special collector model, the feature is now available to a much wider audience.

That gives the Topolino a stronger lifestyle character while preserving the compact electric vehicle’s urban-focused personality. Drivers can enjoy greater exposure to the surroundings when conditions allow, turning everyday city journeys into something a little more enjoyable.

It is also a clever extension of the Topolino concept. This is not an electric vehicle designed around outright performance or long-distance touring. Instead, the Topolino focuses on accessible urban transportation, simplicity and personality.

The Dolcevita version adds another layer to that formula without fundamentally changing what makes the Topolino distinctive.

From Vilebrequin to Dolcevita

The new Fiat Topolino Dolcevita follows a series of increasingly expressive versions of the electric quadricycle.

The Topolino family has evolved from models such as the Corallo and Sport to the highly distinctive Vilebrequin Collector’s Edition. Each version has demonstrated how FIAT can use the tiny electric vehicle as a canvas for different interpretations of Italian urban mobility.

The Dolcevita name is particularly appropriate. It evokes the relaxed, stylish and carefree atmosphere associated with Italy’s famous Dolce Vita era, while the open roof reinforces the connection between the vehicle and the pleasures of outdoor driving.

Rather than treating the soft-top roof as an exclusive novelty, FIAT is now using it to broaden the appeal of the Topolino.

A different approach to electric urban mobility

The Fiat Topolino occupies an unusual position in today’s electric vehicle market.

Instead of attempting to replicate the size, performance and equipment levels of conventional battery-electric cars, the Topolino takes a much smaller and simpler approach. As an electric quadricycle, it is designed primarily for urban environments where compact dimensions and ease of use can be more important than outright range or performance.

That philosophy has helped the Topolino establish a distinctive identity across Europe.

The new Dolcevita version builds on that concept rather than moving away from it. Its open-air configuration gives the vehicle an additional lifestyle dimension while retaining the simple and accessible character that has become central to the Topolino name.

Fiat Topolino continues to gain momentum in Europe

FIAT says the Topolino continues to perform strongly across European markets, reinforcing its position in the growing electric quadricycle segment.

According to the company, Topolino sales have increased by as much as 30 percent compared with the previous year. That growth highlights the continuing demand for small, accessible electric vehicles designed specifically for urban environments.

The Topolino’s appeal also comes from its ability to offer something different from conventional electric cars. Its compact proportions, distinctive styling and limited-speed urban-focused concept make it as much a mobility solution as a traditional automobile.

The introduction of the Dolcevita could broaden that appeal even further by giving customers another reason to choose the Topolino.

Italian style meets electric city mobility

Few electric vehicles take the idea of lifestyle quite as literally as the Fiat Topolino.

The new Dolcevita combines a compact footprint with an open-air driving experience, creating a vehicle that feels particularly suited to relaxed urban journeys. The emphasis is not on speed or performance but on simplicity, accessibility and enjoyment.

That philosophy is consistent with FIAT’s wider approach to the Topolino. From the original model through the Corallo, Sport and Vilebrequin editions, the company has continued to experiment with ways of making the small electric quadricycle more expressive.

The Dolcevita may be the most natural extension of that strategy yet.

New Fiat Topolino Dolcevita: what it means

The arrival of the Fiat Topolino Dolcevita is significant because it takes one of the most desirable features from a limited-edition model and makes it available to a broader group of customers.

The opening soft-top roof was previously one of the defining features of the Topolino Vilebrequin Collector’s Edition. Its introduction to the wider range effectively transforms an exclusive design feature into a more accessible part of the Topolino experience.

For FIAT, it is another example of how the Topolino can evolve without losing its core identity.

For customers, it means there is now another way to experience electric urban mobility: with a roof that can open, a tiny footprint and plenty of Italian character.

The Topolino’s Dolce Vita moment

The Fiat Topolino was never intended to be a conventional electric car, and the new Dolcevita makes that distinction even clearer.

With its opening soft-top roof, compact dimensions and unmistakably Italian personality, the new model adds an element of fun to zero-emission urban transportation. It turns a practical city vehicle into something that is also about the experience of getting around.

As the Topolino family continues to expand across Europe, FIAT is betting that customers will respond not only to the practicality of electric mobility but also to the emotional appeal of a vehicle designed around simplicity and style.

The new Fiat Topolino Dolcevita therefore represents more than another version of the electric quadricycle. It brings open-air driving to a wider audience while reinforcing the idea that affordable urban electric mobility does not have to be dull.

With the Dolce Vita spirit now built into the Topolino range, FIAT is giving its smallest electric vehicle another reason to stand out on Europe’s city streets.

Source: Fiat

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