Mercedes CEO Ola Källenius has defended his company’s pursuit of electric vehicles instead of investing in synthetic fuel technology, known as “e-fuels.”
Despite governments worldwide putting regulations in place spelling the end for the ICE vehicle, some automakers have attempted to save the technology by using “e-fuels,” or fuels made synthetically. Some, including Porsche and BMW, have even invested in e-fuel production centers, but not everyone is convinced this will be the savior of gas-powered technology. Most recently, the Mercedes CEO has criticized the e-fuels strategy, stating his brand will remain dedicated to a complete electric transition.
The Mercedes executive’s comments were first reported in the German newspaper Frankfurter Allgemeine Zeitung, in which the CEO explained his position on using e-fuel technology instead of electric vehicles. “Mercedes has a strategy that clearly relies on the electric drive. We will not fundamentally change these because of the decisions on e-fuels,” said Källenius. “From 2025, we will be aligning all of our new vehicle architectures solely for the electric drive.”
Further defending Mercedes’ dedication to electric vehicle technology, the CEO argued that electric-drive units are technically superior, able to achieve more power output, better efficiency, improved durability and consistency, and eventually, reduced production cost.
However, despite these advantages, especially over costly e-fuels, which remain prohibitively expensive to traditional consumers, the CEO pointed out one critical hurdle for EVs: charging infrastructure. As noted by Källenius, this concern has driven his company to invest in its charging network, which he argues will be critical to the complete adoption of EVs.
Källenius’ comments come at a pivotal time for Mercedes as it works faster than many of its peers to switch to electric vehicles. Currently, Mercedes offers multiples of the number of electric models that BMW, Audi, and Porsche do. Further, with the unveiling of its final ICE vehicle yesterday, it seems to be ahead of the curve on the development side as well.
It’s the end of an era. Mercedes has unveiled its last new ICE vehicle, the E-Class. What do you think of Mercedes’ current/upcoming electric models? pic.twitter.com/KypgG6FwPg
— TESLARATI (@Teslarati) April 25, 2023
Simultaneously, Mercedes’ top brands are working to double down on the auto giant’s lead. Most recently, Mercedes-Maybach, the automaker’s ultra-luxury brand, introduced its first electric model, the Maybach EQS SUV. Moreover, AMG, the company’s high-performance brand, is introducing an increasing number of electric variant vehicles to its lineup and is expected to release its first true electric sportscar in the near future. Even the business’s commercial wing has introduced its first electric offerings, including an electric semi-truck and electric van.
The dedication of the premium German brand has undoubtedly paid off, as its marketshare and sales, particularly in the luxury electric vehicle market, continue to grow year over year. Hopefully, Mercedes can inspire its luxury counterparts to do the same.
What do you think of the article? Do you have any comments, questions, or concerns? Shoot me an email at william@teslarati.com. You can also reach me on Twitter @WilliamWritin. If you have news tips, email us at tips@teslarati.com!
News
Tesla Model Y has become the most common vehicle in Norway
The Tesla Model Y passed more than 70,000 registrations recently.

The Tesla Model Y has become the most common car on Norwegian roads. This is a remarkable achievement for the all-electric crossover, which has also commanded the top spot in Norway’s vehicle sales rankings for several years running.
Model Y Domination
As per vehicle registration figures tracked by the Norwegian Road Traffic Information Council (OFV), there were 68,378 Model Ys with Norwegian license plates at the end of March/beginning of April 2025. In recent weeks, the Model Y passed more than 70,000 registrations, as per a report from Elbil24.
With the Model Y now becoming the most common car in Norway, the Toyota Rav4 now stands in second place, followed by the Nissan Leaf, the Volkswagen Golf, and the Toyota Yaris. The Model Y also topped the country’s vehicle registration rankings for the last three years, and it set a record for selling the most vehicles in a year in 2023, breaking the Volkswagen Beetle’s record that has stood since 1969.
Possibly More Momentum
It is undeniable that the Tesla Model Y has helped Norway push its electric vehicle transition. As of date, electric vehicles now account for 28% of the Norwegian car fleet, a notable portion of which is comprised of the all-electric crossover.
While the Model Y’s achievements in Norway have been impressive, the vehicle could expand its reach into the country even more this year. Tesla, after all, has been aggressively pushing the new Model Y to consumers, with the company offering a zero percent interest promotion for the vehicle. These efforts, as well as the new Model Y’s improved features, should make the vehicle even more compelling to Norwegian car buyers this year.
Elon Musk
Tesla Board Chair slams Wall Street Journal over alleged CEO search report
Denholm’s comments were posted by Tesla on its official account on social media platform X.

Tesla Board Chair Robyn Denholm has issued a stern correction to The Wall Street Journal after the publication posted a report alleging that the electric vehicle maker’s Board of Directors opened a search for a new CEO to replace Elon Musk.
Denholm’s comments were posted by Tesla on its official account on social media platform X.
The WSJ’s Allegations
Citing people reportedly familiar with the discussions, the WSJ alleged that Tesla Board members reached out to several executive search firms to work on a formal process for finding Elon Musk’s successor. The publication also alleged that tensions had been mounting at Tesla due to the company’s dropping sales and profits, as well as the time Musk has been spending with DOGE.
The publication also alleged that Elon Musk had met with the Tesla Board about the matter, and that members told the CEO that he needed to spend more time on Tesla. Musk was reportedly instructed to state his intentions publicly as well. The CEO did not push back against the Board, the WSJ claimed.
Elon Musk did announce that he is stepping back from his day-to-day role at the Department of Government Efficiency during the Tesla Q1 2025 earnings call. Musk’s announcement was embraced by Tesla investors and analysts, many of whom felt that the CEO’s renewed focus on the EV maker could push the company to greater heights.
Tesla and Musk’s Response
In response to The Wall Street Journal’s report, Tesla’s official account on X shared a comment from its Board Chair. In her comment, Denham noted that the WSJ‘s report was “absolutely false.” She also highlighted that Tesla had communicated this fact to the publication before the report was published, but the Journal ran the story anyway.
“Earlier today, there was a media report erroneously claiming that the Tesla Board had contacted recruitment firms to initiate a CEO search at the company. This is absolutely false (and this was communicated to the media before the report was published). The CEO of Tesla is Elon Musk and the Board is highly confident in his ability to continue executing on the exciting growth plan ahead,” Denholm stated.
Elon Musk himself commented on the matter, stating that the publication showed an “extremely bad breach of ethics” since the report did not even include the Tesla Board of Directors’ denial of the allegations. “It is an EXTREMELY BAD BREACH OF ETHICS that the WSJ would publish a DELIBERATELY FALSE ARTICLE and fail to include an unequivocal denial beforehand by the Tesla board of directors!” Musk wrote in a post on X.
Elon Musk
Elon Musk is now a remote DOGE worker: White House Chief of Staff
The Tesla and SpaceX CEO Elon Musk is no longer working from the West Wing.

In a conversation with the New York Post, White House Chief of Staff Susie Wiles stated that Tesla and SpaceX CEO Elon Musk is no longer working from the West Wing.
As per the Chief of Staff, Musk is still working for DOGE—as a remote worker, at least.
Remote Musk
In her conversation with the publication, Wiles stated that she still talks with Musk. And while the CEO is now working remotely, his contributions still have the same net effect.
“Instead of meeting with him in person, I’m talking to him on the phone, but it’s the same net effect,” Wiles stated, adding that “it really doesn’t matter much” that the CEO “hasn’t been here physically.” She also noted that Musk’s team will not be leaving.
“He’s not out of it altogether. He’s just not physically present as much as he was. The people that are doing this work are here doing good things and paying attention to the details. He’ll be stepping back a little, but he’s certainly not abandoning it. And his people are definitely not,” Wiles stated.
Back to Tesla
Musk has been a frequent presence in the White House during the Trump administration’s first 100 days in office. But during the Q1 2025 Tesla earnings call, Musk stated that he would be spending substantially less time with DOGE and substantially more time with Tesla. Musk did emphasize, however, that DOGE’s work is extremely valuable and critical.
“I think I’ll continue to spend a day or two per week on government matters for as long as the President would like me to do so and as long as it is useful. But starting next month, I’ll be allocating probably more of my time to Tesla and now that the major work of establishing the Department of Government Efficiency is done,” Musk stated.
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