The German luxury leaders push into EV territory

The market for high-end, high-performance electric vehicles in the U.S. has been dominated by EV upstart Tesla, which blew open the doors of the segment with its Model S large sedan nearly a decade ago. Since then, the California automaker has consolidated its lead with the launch of the more affordably priced Model 3 compact sedan.

But the luxury-brand establishment is now stepping into the EV ring, hoping to grab some of Tesla's 94.8 percent share of the U.S. luxury-EV market.

Mercedes-Benz will bring its battery-powered EQ subbrand stateside next year. The automaker, based in Stuttgart, Germany, expects to launch electric variants of its GLA, GLB and GLC crossovers and S-Class and E-Class sedans over the next two years.

Munich-based rival BMW will introduce the iNext midsize crossover next year, followed by an electric variant of the 4 Series sedan in 2022. It's part of a global effort to have 25 electrified models on the road by 2023, half of which will be full electric.

Mini, too, has gotten into the EV game. The BMW subbrand added its first battery-electric model this year — the Cooper SE — powered by a 32.6-kWh battery that delivers about 110 miles of range on a full charge.

But as Audi and Jaguar realized, selling electric powertrains to skeptical Americans won't be easy.

Audi has sold fewer than 9,000 of its E-tron electric crossover since it launched in the U.S. in 2019. Meanwhile, Jaguar delivered an estimated 4,033 copies of its I-Pace crossover.

Audi plans to rectify any product shortcomings it had with its E-tron with a coming series of battery-electric vehicles that will take advantage of the scale of Volkswagen Group, using platforms shared from sister brands Volkswagen and Porsche.

BMW put off plans to bring the battery-powered iX3 compact crossover stateside, dealers told Automotive News in March.

Mercedes, meanwhile, pushed back the U.S. arrival of its electric EQC compact crossover, scheduled for the first quarter, to early next year.

Mercedes described the delay as a "strategic decision" needed to first meet customer demand in Europe, where automakers are under pressure to slash emissions levels. The EQC, however, has received a lukewarm response in a key European market — fewer than 500 EQCs were registered in the first half of this year in Germany.

Even as Mercedes bets big on battery power, the automaker will pare back its U.S. portfolio of cars. Mercedes plans to jettison seven models — all coupes and convertibles — to cut cost and complexity in a product lineup that has ballooned to more than 100 variants.