aschb

US customers are blessed with good fortune when buying MB cars.

The current price of a (more or less) full blown S 600 runs at $ 210K (no tax or whatever included) in Switzerland or Germany. VAT in Germany comes around 19% and Swiss 7.6% added to the price.

The $ value against EU or SFR is falling out of bed.

But it seems MB USA keeps the US prices stable, even the Euro climbed this year from 1.30 to 1.47! This is a huge exchange rate difference within one year.

cjf_moraga

I think the S65 went up in the US recently... You are right though.. the price we pay in the US is extraodinarily good value compared to other parts.. .especially on an "all options" included" car like the S600 where direct comparisons are easy to make... and thats after bringing it across oceans and continents... I paid significantly under $144K for my S600 and taxes are "only" 8.25%... (plus an irritating $3000 gas guzzler tax)

...and of course the lower running costs (gas etc) make the total lifecycle ownership cost savings even more substantial... I have lived in Europe and would far less have been able to afford running an S600 there..

Chris

WSH

Indeed...

US prob buys ?50-60% of world's $150K+ cars, so mfrs are accustomed to pricing vs competitive US mkt...and absorbing FX hits....

MSRP comparos don't even fully reveal how cheap cars are in US, esp in CA.....vast majority of these $150K+ cars are leased for 2-3 yrs w/$0 down....so rather efficient from capital, sales tx, and value-at-risk (lease gap insurance) standpoints...and US lemon laws are fairly consumer-friendly....

Also, w/CA's near-perfect yr-round weather, one has no need to invest in suboptimal winter tires/wheels and/or no need to store/mothball a high-perf/tq car (and/or buy a winter commuter car) for some 5mos/yr....unlike our counterparts in ex-CA US or EU....

But will always admire the smooth pavement and derestricted AB of Germany....but not its 5mos/yr of suboptimal-for-perf car-weather....

trumpet1

One more related fact is how over the past 15 years Mercedes S classes in the U.S. have not risen in price very much. The price for example of an S600 has only risen about $10K since early 90s. However, the amount of luxury goodies and technology within these cars has gone up 50%. Perhaps if a 1992 S600 could have been equipped with navigation, distronic cruise, panoramic roofs, xenon lights, DVD players, and tons of new safety equipment (which simply didn't exist back then) the price would have been close to $155K back in 1992 or so. So, all in all, the bargain is better than it appears. That's not to say MB cars are cheap but relativity speaking, they have been holding steady for years in price. The flagship Lexus on the other hand has practically doubled in price since that time. The Acura Legend was around $28K in 1990, now it is $50K (called the RL of course). Doubled in price.
BMW's have held steady.
I'm not positive, but I think most all German cars have held steady in prices over the past 15 years.

WingFlex

I think the US has one of the world's most affordable luxury cars from many perspectives: MSRP, leasing, and ownership cost. Not to mention the good deals for purchases (often more than 5%) and leases (there are always lease deals from time to time). This may explain why S-Classes and 7-series are everywhere in California. And I've seen more Bentleys/RR/Ferrari/Lambo there in a day than I have all my life previously. I heard it's the same in Florida, although I haven't been there.

In Malaysia, a "base-model" S300L is about US$195k at today's exchange rate, an S500L is over US$400k. In Vietnam, an S550 imported from the US with around 10,000km costs about US$220k while an S350 around US$160k. In Canada, an S550 decently equipped is around US$160k on the road. To think that in the US, a fully loaded S550 is around what, US$110k or less?

Check out this thread: https://mbworld.org/forums/s-class-w221/204609-w221-variants.html

momentos_s

You guys on the US are very lucky!
Here in Portugal we have a ver very high tax.

For example:

In the US the S600 costs: 145.000$, while in Portugal is t costs, with no option: 309.000$.

The S65 AMG costs in the US: 195.000$. In Portugal, with no option, you have to pay 419.000$ to get one.

So, aren' you guys lucky?

Diesel Benz

I've said it elsewhere, the fact the we have high car taxes in several European countries feels unfortunate but the fact that MB and other car (and other product) manufacturers sell stuff at lower price to the US than their home market, is harsh to me.

Our fault still, if US buyers can take care of their interests, we should not blame them.

Dema

We keep our dollar cheap so have cheap prices. It really harms Euro economy, but who cares?

kablaam

Cheap goods is only the tip of the iceberg when it comes to how great America is......... but I don't want to go

absent

Sorry to hear how crazy prices you have in Portugal (and similarly in other high tax places like Norway,Finland or Denmark).
Mercedes is not to be blamed for your extraordinary high prices though,the mind boggling huge taxes slapped by the governments are the culprit here.
Sometimes I think that these nutty politicians would love everyone to ride a bicycle,pay more taxes and keep their mouths shut....

absent

MB,like most large manufacturers,is heavily into currency hedging to protect itself against market fluctuations.
Eventually they will have to raise the prices but then they have to be extremely careful about it ,since they cannot afford to lose their market share and the competition here is incredibly fierce.
Even with smaller profit per car,US is still the most important market to them,simply because of the sheer volume of high line cars being sold here.