Mercedes Benz to begin the production line for electric bus in Brazil


Latest reports suggest that Mercedes Benz Group AG will soon begin preparations to launch its line of electric buses in Brazil between November – December this year.  Walter Barbosa, the company’s Bus Sales & Marketing Director issued a statement confirming that demand for buses in Brazil is likely to cross the mark of 3000 vehicles by 2024. 

Notably, most of the buses would be operated from the company’s manufacturing facility in Sao Paulo, given that the city is aiming to own around 2,600 buses by the end of 2024.

Barbosa added that a sum of nearly USD 18.62 million was directed toward the manufacturing of the electric bus named EO500U, which will have a radius of 250 kilometers, and is expected to house around 84 passengers.

For this project to reach fruition, Mercedez Benz will be teaming up with China-based BYD Co., Ltd along with local importers in the Brazilian market. Mercedes Benz is yet to disclose the cost of these buses; however, it has claimed that the price would be 3-3.5 times higher than traditional diesel-based buses.

Elaborating on its features, the automaker has stated that the bus will be equipped with two engines, and the charging time will take around 2.5-3 hours. Mercedes Benz has claimed that it is hopeful that overall sales would lie between 17,000-21,000 units this year, depending on the strategies to overcome the ongoing auto parts crisis.

As of 2021, bus sales in Brazil amassed 14,000 units, despite the threat of consumer limitations concerning the will and capability of purchasing the product. On a positive note, this year is expected to push the profitability graph of the company in Latin America, as more consumers are willing to shell out their earnings to own an electric vehicle.

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