Mercedes to keep making diesel cars despite Labour pushing for 2030 ban - 'It would not make sense'

The company's strategy comes after figures revealed that diesel engines continue to dominate the carmaker's sales with driver support remaining consistent.

The manufacturer stated that diesel powertrains account for 74 per cent of customer preferences globally compared to both petrol and electric vehicles.

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Diesel cars could be banned from UK as soon as 2030 under new plans

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In the commercial vehicle sector, diesel outranked both petrol and electric cars with 90 per cent of Mercedes vehicles featuring a diesel tank.

The company also flagged how its latest generation of diesel engines, including the OM654 and OM656, not only meet the current requirements for emission standards, but also can be integrated into hybrid cars which will be able to remain on UK roads past the 2030 deadline.

However, despite diesel sales remaining high for the company, the UK still plans on phasing out the fuel type. A recently launched consultation looks to reinstate the original 2030 petrol and diesel ban introduced by the previous Conservative Government.

The move has been met with mixed responses from the industry with the Society of Motor Manufacturers and Traders showing its overwhelming support for an earlier ban.

Mike Hawes, Chief Executive at the SMMT said: "These are both critical issues for an industry that is facing significant challenges globally as it tries to decarbonise ahead of natural market demand.

"Aside from the billions invested in new technologies and products, it has cost manufacturers in excess of £4billion in discounting in the UK this year alone. This is unsustainable and, with the 2025 market looking under even greater pressure, it is imperative we get an urgent resolution."

The National Franchised Dealers Association also welcomed the Government's latest consultation but warned that it needs to recognise that “consumer demand is essential to effectively stimulate the market".

The organisation stressed the importance of addressing regional disparities, noting that Northern Ireland's electric vehicle infrastructure lags significantly behind England, Wales and Scotland.