Mercedes Extends A Class Hatchback Production to 2028 Amid Strong Demand and Slow EV Adoption

Why Did Mercedes-Benz Decide to Keep the A-Class Hatchback Until 2028?

If you’ve been following Mercedes-Benz’s recent moves, you might have noticed a bit of a plot twist. The A-Class hatchback, once set to bow out at the end of 2025, is sticking around for at least three more years. So, what’s behind this change of heart?

It boils down to demand and timing. Despite CEO Ola Källenius’s earlier statements about winding down the A-Class and B-Class models, the reality on the ground looks different. The A-Class, now seven years into its current generation, is still flying off dealership lots. People simply aren’t ready to let go of this compact, practical hatchback—especially as the shift to electric vehicles (EVs) has been slower than many in the industry expected.

Mercedes had originally planned to pivot its compact car lineup to four new models on the advanced MMA platform: the CLA, CLA Shooting Brake, GLA, and GLB. Each would offer both combustion and electrified options. But with EV adoption not accelerating as quickly as forecast, Mercedes is hedging its bets by keeping the tried-and-true A-Class in the mix.

What’s Changing for the A-Class and Its Siblings?

Let’s get specific. The A-Class hatchback will continue production, but with a few caveats. The A-Class Saloon has already ended its run, and the high-performance AMG A35 and A45 hot hatches are on borrowed time. Their powerful M139 2.0-liter turbocharged engines don’t meet the upcoming EU7 emissions standards, so they’ll be phased out—though Mercedes hasn’t given a firm date yet.

Meanwhile, production of the A-Class hatchback is expected to shift from the Rastatt factory in Germany (which is being retooled for the new CLA models) to the Kecskemét plant in Hungary. This move aligns with Mercedes’ broader strategy of optimizing its manufacturing footprint as it introduces new models and phases out others.

The B-Class, on the other hand, isn’t so lucky. Mercedes appears set to stick to its original plan and end B-Class production in 2025, leaving the A-Class as the last survivor of its generation.

How Are Emissions Regulations Shaping Mercedes’ Decisions?

Europe’s upcoming EU7 emissions regulations, set to take effect in late 2026, are a big part of the story. These rules are some of the strictest yet, targeting both CO2 and other pollutants. For automakers, that means a tough choice: invest in updating existing combustion engines to meet the new standards, or accelerate the shift to electrification.

For the A-Class, it’s still unclear whether Mercedes will adapt its current petrol and diesel engines to comply with EU7. The AMG variants, as mentioned, are unlikely to make the cut. This regulatory uncertainty is one reason why Mercedes is keeping its options open, extending the A-Class’s life but not committing to a full redesign.

What Does This Mean for Mercedes’ Compact Car Lineup?

The extension of the A-Class’s production isn’t happening in a vacuum. It’s part of a broader reshuffle of Mercedes’ compact offerings. Here’s what’s on the horizon:

– The new CLA and CLA Shooting Brake (including an all-electric estate version) are coming soon, with UK sales for the Shooting Brake expected before year’s end.
– The EQB electric SUV will be discontinued by the end of 2025.
– A new generation GLB, available with both internal combustion and electric drivetrains, will start production in Hungary in 2026.
– The next-gen GLA, arriving in late 2026, will replace both the current GLA and the electric EQA.

No successor to the A-Class is planned on the new MMA platform, so this extension is more of a stay of execution than a new lease on life. Mercedes is using the A-Class to bridge the gap as it transitions its lineup toward electrification and higher-margin luxury vehicles.

How Are Sales Trends Influencing Mercedes’ Strategy?

Let’s talk numbers. Back in 2019, Mercedes’ compact car range hit a high point with 667,000 global sales. Fast forward to 2024, and that figure has dropped to 534,800. That’s a significant decline, but it’s not unique to Mercedes—compact car sales have been under pressure industry-wide, squeezed by the rise of SUVs and the slow but steady growth of EVs.

Still, the A-Class remains a volume seller for Mercedes, especially in markets where compact hatchbacks are prized for their practicality and efficiency. By keeping the A-Class in production, Mercedes is ensuring it doesn’t lose ground in this important segment while it waits for consumer demand for EVs to catch up.

What Do Customers and Experts Think About the A-Class Extension?

Mercedes has been tight-lipped about its long-term plans, but the company did acknowledge the A-Class’s enduring popularity. In a recent statement, Mercedes-Benz said the A-Class “continues to enjoy high demand among our customers,” and highlighted a recent facelift that’s made the car even more appealing.

Industry analysts see the move as pragmatic. According to data from JATO Dynamics, compact hatchbacks like the A-Class remain among the top-selling segments in Europe, even as SUVs and crossovers gain ground. The A-Class’s blend of premium features, efficient engines, and urban-friendly size keeps it relevant—even as the market shifts.

What Should Buyers and Fans Expect Next?

If you’re considering an A-Class, the news is good: you’ll have more time to snag one new from the factory, with updated features and a familiar driving experience. However, if you’re eyeing the AMG models, don’t wait too long—they’re likely to disappear as emissions rules tighten.

Looking further ahead, expect Mercedes to continue refining its compact lineup, balancing customer demand with regulatory realities. The A-Class’s extended run is a reminder that, even in a rapidly changing industry, there’s still room for proven favorites—at least for now.

The Takeaway for Car Enthusiasts and Everyday Drivers

The story of the A-Class’s unexpected extension is really about flexibility. Mercedes-Benz is adapting to a market in flux, where customer preferences, government regulations, and technological change are all moving targets. For drivers, that means more choices and a little more time to enjoy a classic before the next wave of innovation arrives.

So, whether you’re a longtime A-Class fan or just curious about where the auto industry is headed, keep an eye on this space. The next few years promise to be anything but boring.