Mercedes-Benz Group AG reported a 9% decline in fully electric vehicle sales for 2025, widening the gap with rival BMW AG, which saw its EV deliveries increase during the same period.

Mercedes sold 168,800 fully electric vehicles last year, down from 2024 figures, the company announced Monday. In contrast, BMW’s EV sales rose 3.6% to 442,072 units, highlighting the growing disparity between the two German luxury automakers in the electric vehicle segment.

The contrasting performance puts additional pressure on Mercedes CEO Ola Källenius as he works to demonstrate the company can compete effectively in the transition to electric vehicles.

Mercedes also reported that its overall car sales fell 9% to 1.8 million vehicles in 2025, marking one of its weakest annual performances in recent years. The company faced particular challenges in China, where deliveries dropped 19% amid intensifying competition from domestic brands.

Sales in Mercedes’ core segment, which includes medium-sized models like the E-Class, declined 10% globally to 1.05 million units.