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Tesla rival Mercedes-Benz EQC to adopt gradual production ramp over possible warranty concerns
Tesla rival Mercedes-Benz has decided to adopt a gradual rollout for the EQC, the company’s first all-electric vehicle that’s designed to compete with premium SUVs like the Model X. Mercedes-Benz head of production and supply chain management Markus Schaefer related the EQC’s production ramp update last week.
Schaefer noted in a statement to Europe Auto News that the German automaker is opting to play it safe with the EQC’s rollout to make sure that warranty costs for the upcoming vehicle don’t spike. The Mercedes-Benz executive added that his main concern lies in monitoring the EQC’s costly, 80-kWh lithium-ion battery pack.
“We want to be sure we deliver Mercedes quality from day one in all aspects, and we have to watch the warranty side for customers as well. We don’t want customers ending up at the mechanic later. Slowing down the ramp-up is a tool to make sure we do it right, to address all the unknowns that an electric car brings,” Schaefer said.
So far, there have been no problems emerging from the EQC’s battery pack plant in Kamenz, Germany, with all component manufacturers being carefully vetted by the company. That being said, Mercedes-Benz acknowledges that building a new type of vehicle at scale could become more challenging than expected, considering the new technology involved and a series of new suppliers. Thus, for Schaefer, it would be best to prepare for any possible problems with the EQC’s battery.
“This is the heart of the electric vehicle, which is very much in charge of safety and performance of the vehicle as well as long life and costs. There are hundreds of components that have to come together from various new suppliers, Tier 2 and Tier 3, which are in the background, and we have to see their performance,” he said.
While the Mercedes-Benz EQC would see a gradual rollout when it starts production, Schaefer maintains that he is nonetheless optimistic about the company’s capability to quickly ramp the vehicle. The company plans to manufacture the EQC at its factories in Bremen, Germany, and Beijing, China, on the same line as the company’s fossil fuel-powered vehicles like the Mercedes-Benz GLC.
“I’m not worried about the production plants in Bremen and Beijing. I know their capability, and they have proven they can ramp up in lightning speed,” Schaefer said.
The Mercedes-Benz EQC is expected to be among the vehicles that would compete with Tesla in the premium EV market. The SUV was unveiled last week, and during the event, Daimler AG Chief Executive Officer Dieter Zetsche stated that the legacy carmaker would be “going all-in” on the emerging electric car transition. Zetsche also noted that its first all-electric car, the EQC, would “offer the best package” compared to rivals.
The Mercedes-Benz EQC is equipped with two electric motors that produce 402 hp and 564 lb-ft of torque, which allows the EQC to accelerate from a dead stop to 60 mph in 4.9 seconds. The EQC also has a top speed of 112 mph. Mercedes-Benz courted some confusion when it unveiled the EQC, as some of the company’s press materials listed the vehicle’s range from its 80-kWh battery as ~200 miles per charge, but in a later statement to The Verge, Mercedes-Benz has clarified that the vehicle actually has a range of 279 miles per charge.
Tesla has secured regulatory approval for its Full Self-Driving (Supervised) system in Denmark, marking a significant step in the technology’s expansion across Europe.
Announced on June 9, the approval positions Denmark as the fourth European country to greenlight FSD Supervised, following the Netherlands, Lithuania, and Estonia.
Rollout to Danish vehicle owners is expected to begin soon, the company said.
The Danish Road Traffic Authority granted provisional approval after reviewing the original type approval issued by the Dutch vehicle authority (RDW) on April 10, 2026.
FSD Supervised now approved in Denmark 🇩🇰
Rollout will begin soon pic.twitter.com/Xpxwcme10k
— Tesla Europe, Middle East & Africa (@teslaeurope) June 9, 2026
This national recognition approach allows individual countries to bypass slower EU-wide harmonization processes, accelerating deployment. Lithuania activated the system on May 20, with Estonia following on May 29, demonstrating a rapid domino effect across the region.
FSD Supervised enables advanced driver assistance capabilities, including automatic steering, acceleration, braking, lane changes, and navigation through complex urban and rural environments. The system is designed for supervised use, as its name states, meaning drivers must remain attentive and ready to intervene at all times.
It adapts to diverse conditions, such as rain, night driving, and varied road types common in Denmark, but it is important to note that the tech is not fully autonomous.
Following a launch in Europe just a few months ago, with its first approval coming in the Netherlands, Tesla is just now highlighting the successful start.
Early data from the Netherlands highlights strong safety performance. Between April 10 and June 5, vehicles using FSD Supervised recorded 3.5 times fewer collisions than manual driving overall, with zero crashes reported on highways across more than 16.6 million kilometers driven.
These results underscore the potential of the technology to enhance road safety when properly supervised.
Tesla’s European push builds on its global footprint, now reaching 12 countries with FSD Supervised availability. The software receives continuous over-the-air updates, improving performance based on real-world data from millions of miles.
In Denmark, owners with compatible hardware—particularly newer vehicles equipped with Hardware 4 (HW4)—are anticipated to gain access first, though exact timelines and eligibility details will be confirmed during rollout.
This approval reflects growing regulatory confidence in supervised autonomy across Europe. As more nations recognize the Dutch certification, Tesla continues to demonstrate how its AI-driven approach can navigate real-world driving scenarios effectively. Denmark’s addition strengthens Tesla’s position in the region, paving the way for broader adoption on a continent that his been surprisingly slow to adopt the technology.
With FSD Supervised now approved in four European markets in just two months, the technology is steadily advancing toward wider availability. Tesla aims to refine the system further through ongoing data collection and software iterations, supporting its vision for safer and more efficient transportation.
Tesla has apparently revised the policy it previously had listed for Full Self-Driving transfers on the newest All-Wheel-Drive Cybertruck that the company had sold for a steal price of just $59,000 earlier this year.
After initially stating that customers who bought the pickup would be able to transfer FSD purchases, Tesla recently changed the language in those terms and conditions to reflect that this would no longer be the case.
Tesla launches new Cybertruck trim with more features than ever for a low price
The adjustment in terminology has caused a handful of orderers to cancel their reservations due to the loss of FSD transfer:
Just cancelled my 59k CT order today. My screenshot from that day of order (feb 20th) clearly shows that it would be eligible.
Terms were retroactively modified. Our 2020 Y and 2023 S are just fine for now. pic.twitter.com/D9PFnId1B4
— Ryan Scanlan 👥 (@Xenius) June 8, 2026
Tesla said orders for the new Cybertruck AWD must be placed by March 31, 2026, to qualify for the FSD transfer. The language in the document from earlier this year explicitly states that they “may qualify” for the transfer program, but the date of March 31 is explicitly mentioned.
Additionally, Tesla Delivery Advisors reached out to some orderers of the AWD Cybertruck, who were told there was “an update to the eligibility of the Full Self-Driving (Supervised) transfer.” Tesla stated they could:
- proceed without the transfer,
- upgrade to a Premium or Cyberbeast trim and request an FSD Transfer
- cancel the order and be refunded the $250 order fee.
Tesla turning around and changing these terms will undoubtedly result in a handful of cancellations on the part of those who have placed an order for this truck. They could pay $99 per month for an FSD subscription, which is now the only option available, but having purchased the suite outright on another vehicle and being told the transfer policy would be upheld, only to have it cancelled, is a tough pill to swallow.
These moves were also made by Tesla just before deliveries were set to begin on the Cybertruck AWD configuration. Reservation holders have started receiving VINs for their trucks, and Tesla is preparing to hand over the first units.
It’s a disappointing move from Tesla that will undoubtedly make some of its fans who have bought the truck frustrated.
In the world of autonomous ride-hailing, there are only a handful of names. Among those few companies lies a strategy play by each to keep the opposition on their toes. Tesla, on the other hand, already tipped its hand at where it is headed next.
Tesla has signaled its next major push in the autonomous ride-hailing market by filing for an Autonomous Vehicle Network Company permit in Nevada (Docket 26-05015). Through Tesla Robotaxi, LLC, the company seeks approval to operate up to 5,000 robotaxis in Clark County, including high-traffic areas like Las Vegas and Henderson airports, within the first 12 months of launch.
This filing builds on Tesla’s earlier testing approvals from the Nevada DMV in September 2025 and preparations such as maintenance hubs in the Las Vegas area. Nevada represents a strategic expansion into a major tourist destination, where high visitor volumes could drive strong utilization and showcase the reliability of unsupervised autonomy to a broad audience.
We’d have to assume this means Tesla is targeting Las Vegas, and it’s a great move from a business perspective.
Vegas is such a melting pot of people from all around the country and the world. It will expose people from all corners of the globe to Tesla’s autonomy capabilities https://t.co/Qz3fQmhULF pic.twitter.com/Du5pj2RyWC
— TESLARATI (@Teslarati) June 6, 2026
Approval would mark a significant step toward commercial operations in a new state, following progress in Texas.
Tesla’s shareholder decks and earnings calls have clearly outlined these ambitions. In the Q4 2025 shareholder deck, the company listed planned Robotaxi coverage for the first half of 2026, explicitly naming Las Vegas alongside Phoenix, Miami, Orlando, and Tampa, with Dallas and Houston already advancing. Austin was noted as “ramping unsupervised,” while the Bay Area remained in safety-driver mode.
By Q1 2026, the deck updated statuses to reflect launches in Dallas and Houston, with “preparations underway” for the remaining cities, including Las Vegas. Paid Robotaxi miles nearly doubled sequentially in Q1, underscoring momentum even as broader timelines adjusted slightly for regulatory and operational readiness.
On earnings calls, CEO Elon Musk and executives have emphasized a phased rollout prioritizing safety. Unsupervised operations in Texas have shown strong results with no reported accidents or injuries in the program. Tesla continues groundwork in additional major U.S. metros through testing and permitting, positioning it to scale quickly once approvals clear.
This Nevada move aligns with Tesla’s vision of transforming from an EV maker into an AI and robotics leader. The forthcoming Cybercab, which started production at Giga Texas in April, is expected to eventually dominate the fleet, replacing many Model Y vehicles and driving down costs to enable affordable rides.
For investors and the industry, this signals Tesla’s intent to dominate key Sun Belt and tourist markets where weather, regulations, and demand favor rapid scaling. Success in Las Vegas could validate the model for denser urban and high-tourism environments, accelerating the shift toward a future where robotaxis generate meaningful revenue.
Las Vegas will also expand knowledge among the general public at Tesla’s capabilities, helping people experience driverless ride-hailing from several companies during their time on The Strip.
Tesla Full Self-Driving is taking over Europe: fourth country gets FSD approval
Tesla revises FSD transfer policy on new Cybertruck trim, causing cancellations
