Mercedes Benz reports sharp drop in annual earnings amid China trade challenges

Mercedes-Benz reported a 57 percent drop in 2025 earnings on Thursday. The carmaker faced stiff competition in China and high costs from trade tariffs.

Insights:
Mercedes-Benz announced on February 12, 2026, that its full-year earnings before interest and taxes (EBIT) fell 57% to 5.8 billion euros. This result missed the 6.6 billion euro forecast provided by Visible Alpha and represents a sharp decline from the 13.6 billion euros reported for the prior year.
Mercedes-Benz S-Class (S-Klasse) is presented during its world premiere in Stuttgart, Germany, January 29, 2026. REUTERS/Angelika Warmuth
Mercedes-Benz S-Class (S-Klasse) is presented during its world premiere in Stuttgart, Germany, January 29, 2026. REUTERS/Angelika Warmuth
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