News

Mercedes-Benz Adjusts Course, Maintains Dual Gas-Electric Lineup

Just days after Audi revealed it would extend the life of its gasoline-powered cars beyond its original timeline, Mercedes-Benz has made a similar course correction, signaling a broader hesitation within the German auto industry about a full transition to electric vehicles (EVs).

Mercedes-Benz Group CEO Ola Källenius acknowledged in an interview with Auto Motor und Sport that the company is revising its strategy and will continue offering internal combustion engine (ICE) vehicles for longer than previously planned. “Electrified high-tech internal combustion engines will remain on offer for longer than we originally expected,” Källenius said, emphasizing a dual-track approach combining gasoline and electric technologies.

Mercedes had earlier committed to shifting to an all-electric lineup “where market conditions allow” by 2030. However, Källenius now argues that a mixed powertrain strategy is the most practical path forward in light of slower-than-expected consumer adoption of EVs. “In the current situation, I think the most rational approach is for an established manufacturer like Mercedes to do both technologies and not neglect either one,” he added.

This shift mirrors a broader trend among legacy automakers scaling back aggressive electrification timelines, prompting concerns about the overall health of the EV market. Some observers have interpreted these moves as evidence of waning interest in electric cars.

However, data tells a different story.

Despite challenges faced by individual automakers — including a 23% year-over-year drop in EV sales for Mercedes-Benz in 2024 — the electric vehicle sector remains in growth mode. According to the International Energy Agency (IEA), global EV sales surged by more than 25% in 2024, totaling around 17 million units.

Further momentum is expected this year. BloombergNEF’s annual Electric Vehicle Outlook projects a 25% rise in sales of plug-in hybrids and fully electric vehicles in 2025, with nearly 22 million units anticipated to hit the roads. Much of this growth, however, is concentrated in China, where market conditions, government policies, and consumer preferences significantly differ from those in Europe.

Industry analysts caution against drawing sweeping conclusions based on moves by a few automakers. While it’s clear that some carmakers are struggling to meet ambitious EV targets, the global trend still points toward electrification — albeit with regional variations and a slower pace than some had hoped.

As Mercedes-Benz and other automotive giants recalibrate their timelines, the road to a fully electric future appears less linear than once envisioned, but still firmly underway.

Source: Mercedes-Benz, Auto Motor und Sport

News

Toyota Prepares for a New Era: 13th Generation Corolla Set to Debut by 2027

Toyota’s iconic Corolla, the world’s best-selling car, is gearing up for a bold transformation. The Japanese automaker is expected to unveil the 13th generation of the Corolla between 2026 and 2027, marking a significant evolution in design, technology, and efficiency for the legendary model.

While official details remain under wraps, reports from Japanese media outlets suggest that the new Corolla will feature a radical aesthetic overhaul inspired by Toyota’s latest design language, seen on the new Prius and C-HR models. Expect sleek, horizontally stretched light clusters, a sharper, more aerodynamic silhouette, and a redesigned rear end featuring thin taillights connected by a modern light bar.

The front fascia will likely boast a more compact grille, recessed for a cleaner appearance, paired with a sportier bumper design defined by taut and dynamic lines. The evolutionary design reflects Toyota’s intent to keep the Corolla fresh and relevant amid intensifying competition in the global compact car segment.

As per tradition, the Corolla’s 13th generation will be offered in multiple body styles—including sedan, hatchback, and wagon—ensuring broad market coverage. However, not all markets will receive the full lineup, with some versions potentially limited to specific regions.

Inside the cabin, a digital revolution is on the horizon. The new Corolla is expected to feature a fully digital instrument cluster and a larger, high-resolution central screen supporting both Apple CarPlay and Android Auto. In a major tech leap, Toyota may introduce an AI-based voice assistant capable of natural, intuitive interactions—bringing the Corolla in line with the industry’s move toward smarter, more connected driving experiences.

Under the hood, full hybrid powertrains will remain at the core of the Corolla’s offering, likely enhanced for greater performance and fuel efficiency. Rumors also point to the possible addition of a plug-in hybrid variant, with an electric-only range of over 100 km—an ambitious move aimed at matching or exceeding rivals in the electrified compact segment.

Perhaps the most tantalizing prospect is the potential arrival of the high-performance GR Corolla in European markets. Although not yet confirmed by Toyota, sources suggest this variant could be built in the UK, powered by a 1.6-liter turbocharged engine delivering over 300 horsepower and equipped with all-wheel drive. If realized, it would mark the first time a GR (Gazoo Racing) model is produced outside of Japan—a historic milestone for the brand.

As the Corolla approaches its 60th anniversary, the forthcoming generation seems poised to blend tradition with innovation. With bolder styling, cutting-edge technology, and an eye toward sustainability, the next Corolla may once again set new standards in the global compact car market.

Source: Toyota

EV

VW ID.2 R: A Compact EV with Supercar-Like Power and AWD Precision

Volkswagen is preparing to supercharge its electric vehicle lineup with a groundbreaking new model: the ID.2 R, a high-performance compact EV that could set new standards for agility and innovation in the segment. Positioned above the upcoming ID.2 GTI, the ID.2 R is poised to become Volkswagen‘s most radical small electric car yet—and it may introduce a major technological leap with the use of in-wheel electric motors.

The ID.2 R, currently under development by Volkswagen’s R Performance division, is more than just a hot hatch. It represents a broader engineering experiment aimed at unlocking the full performance potential of electric drivetrains. By placing individually controlled electric motors inside the rear wheel hubs, the vehicle would offer not only true all-wheel drive but also advanced torque vectoring capabilities—promising a level of precision and dynamic control rarely seen in compact EVs.

Crucially, this configuration would retain the front motor and electronics from the ID.2 GTI, while seamlessly integrating two additional motors in the rear. This setup would avoid the space and weight penalties typically associated with dual-motor AWD systems, preserving cabin and cargo space while enhancing performance.

Adding to the intrigue is Volkswagen’s collaboration with a Balkan-based technology partner, specializing in ultra-compact and efficient in-wheel motors. This partnership is seen as vital to ensuring that the ID.2 R can deliver aggressive performance without the mass and cost burdens of more conventional solutions.

While final approval for the ID.2 R is still pending, early performance estimates suggest the vehicle could produce over 400 horsepower—a dramatic jump from the ID.2 GTI’s already impressive 286 hp. Such output would not only make it the most powerful ID.2 variant but could also position it as a direct competitor to the Renault 5 Turbo 3E, another electrified reinterpretation of a classic European hot hatch.

Volkswagen is already on track to launch the standard ID.2 in 2026, followed by a crossover version in 2027, both built on the scalable MEB Plus platform. Fortunately, the modularity of this architecture gives the brand flexibility. While in-wheel motor technology is clearly the more innovative path, VW is also exploring the possibility of using a more conventional dual-motor AWD setup—like that seen in the larger Škoda Elroq vRS—without costly platform overhauls.

Whether Volkswagen opts for the bold, high-tech future promised by in-wheel motors or takes a safer, more traditional route, the ID.2 R signals the company’s serious intent to push the boundaries of EV performance in smaller vehicles. With the potential to combine cutting-edge handling dynamics, compact practicality, and blistering straight-line speed, the ID.2 R could redefine what consumers expect from affordable electric performance cars.

If greenlit, this high-voltage hot hatch might just become one of the most exciting EVs of the decade.

Source: Volkswagen

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