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Mercedes-Benz's reputation declines over choice of battery supplier for EVs

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A joint investigation is underway by the police, the fire authority and Mercedes-Benz to find out the exact cause behind the sudden fire of the carmaker's EQE electric vehicle in Incheon, Aug. 8. Yonhap

A joint investigation is underway by the police, the fire authority and Mercedes-Benz to find out the exact cause behind the sudden fire of the carmaker's EQE electric vehicle in Incheon, Aug. 8. Yonhap

By Lee Min-hyung

Mercedes-Benz is losing its iconic reputation for luxury, even after the scandal-tainted carmaker belatedly disclosed its list of battery partners. The company has opted for less-popular Chinese batteries for several models in its high-end electric vehicle (EV) lineup.

A number of other carmakers here and abroad are moving to make the information public amid escalating public concerns about EV fires following the sudden explosion of a parked Mercedes-Benz EQE EV.

However, most of them were found to have sourced batteries from what is considered to be safer manufacturers, such as LG Energy Solution, Samsung SDI, SK On and CATL.

Mercedes-Benz Korea used batteries from China's Farasis Energy, whose footing in the global battery industry remains weaker than the aforementioned industry-leading players. The carmaker sourced Farasis batteries for most of its EQE lineup and some higher-end EQS vehicles.

However, the firm's luxury competitors, like BMW and Audi, chose not to adopt batteries from these lesser-known Chinese manufacturers. According to BMW Korea, the carmaker used batteries from CATL and Samsung SDI for all of its EV lineup here.

Audi Korea and Volkswagen Korea's EVs available for sale here are all equipped with battery cells from LG Energy Solution and Samsung SDI.

Hyundai Motor and Kia also shared battery information regarding their EVs. According to data from the companies, all of their EVs were equipped with batteries from SK On, LG Energy Solution and CATL.

Industry officials noted that Mercedes-Benz's corporate image has been tarnished by its use of less popular Chinese battery firms, even for its high-end EQS vehicle lineup.

"Other carmakers will gain more unexpected benefits for using more well-known batteries," an official from an automaker said.

"Most of Mercedes-Benz Korea's rival firms here were confident to share their battery sources, as public sentiment toward such famous battery manufacturers remains optimistic despite lingering concerns as to potential EV fire."

The luxury carmaker should have revealed the information shortly after the public outcry started escalating following the catastrophic fire of the EQE sedan, but the belated response ended up further damaging its corporate image, according to the official.

Lee Min-hyung mhlee@koreatimes.co.kr


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