China decline continues to sap Mercedes’ car division profit


Mercedes lowered its EBIT guidance and margin expectations for 2026 as the situation in China shows no sign of improvement. By Will Girling

Mercedes-Benz’s reported operating profit rose 136.4% year-on-year in the third quarter, to €1.77bn (US$1.97bn). However, rather than indicative of a recovery, this is a flattering statistical comparison with a period in which the company carried €876m of restructuring charges and €427m of legal costs.

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