Key highlights
- Mercedes-Benz is in advanced talks to source BMW’s B48 2.0L turbo-petrol engine for future models
- The move aims to cut development costs and fill gaps in plug-in hybrid and range-extender capabilities
- If finalized, this would mark the first time two German luxury rivals share internal combustion powertrains
In a twist that would’ve sounded like fiction a decade ago, Mercedes-Benz is reportedly in advanced talks with BMW to use its B48 2.0-litre turbocharged petrol engine across a wide range of future models. The potential partnership, first reported by Manager Magazin and confirmed by multiple sources, is being framed as a strategic response to slowing EV adoption and rising development costs for internal combustion engines.
The B48 engine, currently used in nearly every BMW and Mini model, could soon find its way into Mercedes cars like the CLA, GLA, GLB, C-Class, E-Class, GLC, and even the upcoming ‘Little G’ SUV.
Why Mercedes needs BMW’s engine?
Mercedes already has its own M252 1.5-litre petrol engine, developed in Germany and produced in China via the Horse joint venture with Geely and Renault. While it works well for mild-hybrid setups, insiders admit it’s not engineered for plug-in hybrid (PHEV) or range-extender applications.
The B48, on the other hand, is Euro 7-compliant, supports both longitudinal and transverse layouts, and is already proven in hybrid configurations. It offers Mercedes a shortcut to expanding its ICE and hybrid portfolio without sinking billions into new engine development.
Production and global strategy
If the deal goes through, BMW will likely supply engines from its Steyr plant in Austria, with discussions underway for a shared production facility in the United States to sidestep rising import tariffs. The partnership could even extend to gearbox sharing, though that’s still speculative.
This isn’t just about engines, it’s about survival in a shifting landscape. With EV sales not growing as fast as expected, both brands are recalibrating their strategies to keep ICE models relevant and profitable.
Our thoughts
This is Mercedes saying, “We’ll borrow brilliance if it keeps us in the game.” And I’m nodding with curiosity. The B48 is a solid engine—refined, versatile, and already doing duty in everything from the 3 Series to the Supra. If Mercedes can integrate it without losing its signature driving feel, I might just start calling it the most unexpected bromance in automotive history.
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