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Mercedes-Benz was reported to be in advanced talks to source BMW four-cylinder petrol engines, but the company’s technology chief later rejected the reports. The available accounts do not establish that Mercedes and BMW agreed to a supply deal.
What the August 2025 report claimed
On 21 August 2025, Autocar reported that Mercedes-Benz and BMW were discussing a possible supply of BMW four-cylinder petrol engines for future Mercedes models. The report attributed the negotiations to an unnamed Mercedes source; it was not an announcement of a signed contract.
Autocar listed the CLA, GLA, GLB, C-Class, E-Class, GLC and a smaller “Little G” as possible applications. It suggested that reducing costs and supporting plug-in hybrid models could be motivations, but did not establish these as agreed terms.
The report also floated a turbocharged 2.0-litre version of BMW’s B48 engine, possible plug-in hybrid or range-extender use, and a potential shared engine plant in the United States. These were reported possibilities, not confirmed specifications, production plans or deal details.
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What Mercedes-Benz said afterward
On 9 September 2025, Autocar India reported comments from Mercedes-Benz CTO and board member Markus Schäfer at the Munich Mobility Show. According to the outlet, Schäfer rejected the engine-sourcing reports, describing the speculation as “not true.” He also said, “I didn’t place the story.”
Schäfer pointed to Mercedes-Benz’s own Family of Modular Engines, or FAME. As quoted by Autocar India, he said: “I can only tell you we created a new family of engines, called FAME (Family of Modular Engines) about four years ago.” The available account is the outlet’s report of his remarks; it does not include a primary Mercedes-Benz transcript or statement page.
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How FAME fits Mercedes-Benz’s public engine strategy
In its 20 February 2025 Capital Market Day materials, Mercedes-Benz described an engine and transmission portfolio spanning four to eight cylinders, with 12-cylinder engines continuing in selected markets. The company also said the four-cylinder engine for the new CLA was developed and designed by Mercedes-Benz and was being industrialized with a partner in China.
That company material predates the August report. It provides context for Mercedes-Benz’s stated engine strategy, but it is not a direct response to the alleged BMW discussions and does not independently resolve what may have been discussed privately.
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Did Mercedes and BMW agree to share engines?
The cited accounts do not establish an agreement. The August report described negotiations based on an unnamed source; the September report says Schäfer rejected the story. They provide no confirmed contract terms, quantified savings, number of affected vehicles or evidence that talks were later revived.
Accordingly, it is accurate to say that BMW-engine sourcing was reported and subsequently denied by a Mercedes-Benz executive, not that future Mercedes cars are confirmed to use BMW engines.
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- Superior antioxidants and cleaning detergents combine to safeguard against damaging deposits and sludge
- Advanced anti-wear additives offer extra wear protection vs. industry and OEM standards
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