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Mercedes-Benz may create electric-only brand

Daimler's Mercedes-Benz division may follow in fellow German automaker BMW's footsteps by launching its own separate brand for electric vehicles, Hybrid Cars says, citing German publication Handelsblatt, which quoted people familiar with the process. Daimler's board may make the decision to go ahead with the plan as early next month. And the brand may officially be unveiled at the Paris Motor Show in September. Unlike BMW and the i brand, Mercedes would use its existing factories to produce the newly-branded vehicles instead of operating out of a separate one as the i brand does. The first vehicle under the brand is likely to be an SUV model based on the Mercedes-Benz GLC crossover vehicle and would start sales next year. The product line would be broadened further in 2020. Daimler declined to comment, according to Handelsblatt. Mercedes-Benz and BMW wouldn't be the only two German automakers with plans for more electric vehicle sales. Volkswagen has a plan to unleash as many as 20 electric vehicles and plug-in hybrids to the public by 2020, including the Phaeton and the Audi A8. On that note, reports surfaced last month that VW may build its own "Gigafacory" as it prepares to widen its plug-in vehicle push and bring down their costs. As for US sales, Smart sold 313 ForTwo Electric vehicles, down 43 percent from a year earlier. Meanwhile, BMW's i sales in the US fell 40 percent from a year earlier to 2,723. Currently, Mercedes-Benz's only two electric vehicles are the Mercedes B-Class Electric Drive and the Smart ForTwo Electric two-seat vehicle. In the meantime, take a look at Autoblog's First Drive of the B-Class Electric. Related Video: News Source: Handelsblatt, Hybrid Cars Green Mercedes-Benz smart Electric

Mercedes testing C-Class plug-in hybrid modes in Germany

Testing appears to be underway for what would be the first Mercedes-Benz C-Class with a hybrid powertrain. We can see a pair of the prototypes undergoing testing in Germany, with one, a C-Class Wagon, still heavily clad in camouflage and featuring a more noticeable outlet on the passenger side of its rear bumper.
There's also a more production-looking sedan, which features a not-so-discreet flap over its rear-bumper outlet. It's difficult to speculate on power outputs for this fuel-sipping C-Class, although our spies seem to think that this car will feature some combination of a four-cylinder gas engine with an electric motor, although just which four is unclear (note, we wouldn't mind if MB fit its 2.0-liter turbo with some batteries and motors). Regardless, the four-pot/electric motor seems like a pretty reasonable combo, although it probably means that Mercedes won't be challenging the six-cylinder-powered system of the BMW ActiveHybrid3 any time soon.
When the plug-in C-Class arrives later this year as a 2015 model, it will likely offer a full range of driving modes, including both gas or electric, only, as well as a more traditional hybrid mode.

2013 Mercedes-Benz GLK250 Bluetec gets 33 mpg, priced from $38,950*

It's been more than a year since we first saw the 2013 Mercedes-Benz GLK250 Bluetec unveiled at the 2012 New York Auto Show, but it looks like the compact diesel crossover is finally starting to roll into dealerships. Those wanting to buy a diesel GLK will only have to pony up an extra $1,500 over a base, gas-powered GLK350, as the GLK250's starting price is listed at $38,590 (*not including $905 destination charge).
The turbocharged 2.1-liter four-cylinder diesel produces 200 horsepower and 369 pound-feet of torque, and Mercedes-Benz has also provided some fuel economy numbers for this model, with claimed EPA estimates of 24 miles per gallon city and 33 mpg highway. There is no listing for the GLK250 on the EPA's website yet, but the figures represent significant increase over the GLK350's lackluster 19 mpg city and 25 mpg highway figures, which are for the rear-wheel drive model. The GLK250 comes standard with the 4Matic all-wheel-drive system - a $2,000 option on GLK350 - meaning that if you want an all-wheel-drive version of the 2013 GLK, it's actually cheaper to opt for the diesel model. Head over to the Mercedes-Benz site for the full 2013 GLK-Class configurator.