Mercedes is developing a smaller Classe G to target a new market, avoiding direct competition with its current model. The new vehicle will offer both hybrid and thermal options.
Mercedes developing smaller G-class model
Mercedes is working on a smaller version of its iconic Classe G model, but this new vehicle will not be a direct downsized copy of the traditional G-Wagen. The automaker aims to target a different customer base with this new model, avoiding direct competition with the existing Classe G. Camouflaged prototypes are already in development, and details about the model’s positioning and timeline are becoming clearer.New model targets different segment
Stefan Weckbach, head of Mercedes-AMG and responsible for Classe G and Maybach activities, said the future model would target a different market segment from the traditional 4x4. It will not appeal to the “true client of the G,” according to Weckbach. The Classe G currently holds a unique position in the market due to its boxy appearance, rugged design, and image as a luxury vehicle capable of off-road use. For some customers, its large size and distinctive character are part of its appeal.Smaller G aims for new niche
The smaller G will need to find its own niche. Mercedes could attract buyers who like the style of the large 4x4 but do not need its bulk or want to spend a high budget. The compact format may also allow the manufacturer to reach a clientele interested in a high-end SUV suitable for daily use. However, Mercedes is not planning to limit itself to a style exercise. Ola Källenius, head of the group, promises genuine off-road capabilities, recalling the performance of the Classe G on the Schöckl, an Austrian mountain used for testing vehicles.Release timeline and power options
Ola Källenius indicated that the model would arrive in less than 24 months, suggesting a likely presentation before October 2028. The model will not be reserved for electric-only buyers, as Mercedes has confirmed that the small G would also offer a thermal engine. Michael Schiebe, former head of Mercedes-AMG, noted that North American dealers requested a version with a combustion engine.Technical details and manufacturing location
Technically, the available information mentions a four-cylinder turbocharged gasoline engine, potentially combined with hybridization, as well as an electric variant with two motors and all-wheel drive. However, Mercedes has not published a definitive technical sheet, so neither the power outputs, battery capacities, nor ranges are officially established. The manufacturing location is now better documented, with Mercedes confirming in July 2026 that the model would be produced in its plant in Kecskemét, Hungary. The site has undergone significant investments to increase its capacities and accommodate new vehicles.
