- Mercedes is developing a new entry-level model for 2028.
- A- and B-Class replacement blends SUV and minivan design.
- It will use the MMA platform like the CLA, GLA, and GLB.
Mercedes is giving the A-Class a little more time on the road by moving production to Hungary in early 2026. While that might sound like the end of the line, it’s actually preparing for something entirely new. A successor is reportedly in the works for 2028, and it won’t stick to the familiar hatchback or sedan templates.
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According to sources familiar with the plan, the next-generation entry-level Mercedes will move toward a shape that blends SUV and minivan cues. Think of it as a mix between the current GLA and the B-Class, the latter of which is on its way out.
SUV Meets Minivan
Speaking to German outlet Automobilwoche, Mercedes development chief Jörg Burzer described the upcoming model as “unlike anything else that has existed before,” calling it a “very attractive vehicle.” His choice of words suggests the company is aiming for more than just a straightforward replacement.
Burzer also confirmed that the new model will be built on the brand’s MMA platform, the same architecture that underpins the CLA, CLA Shooting Brake, GLA, and GLB. The modular platform is flexible enough to support gasoline, hybrid, and full-electric setups, which leaves the door open for a wide range of configurations.
Who’s It Really For?
According to a report from Autonews Europe, the new A-Class replacement will be designed with a younger audience in mind. That doesn’t just mean price, it also points to a different approach in styling and layout.
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With a higher seating position and packaging reminiscent of a compact van, the model could serve as a single, practical alternative to both the A- and B-Class. At the same time, it might undercut the GLA and GLB in price, giving buyers a more budget-friendly option with similar space. It also aligns with changing preferences among young families and urban drivers looking for flexibility without going full SUV.
Production is likely to happen at the Kecskemét plant in Hungary. That’s the same facility set to take over A-Class manufacturing in the first quarter of 2026. The move allows Mercedes to reduce costs and transfer resources at its Rastatt factory in Germany, which will handle other MMA-based models going forward.
Affordability Is Key
Despite being around since 2018, the current A-Class (W177) remains popular. In Europe, the compact model sold 69,777 units in 2025 (down from 75,240 in 2024), making it the fourth best-selling Mercedes in the region behind the GLC, CLA, and GLA.
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Rising demand for more affordable Mercedes models is a key reason the A-Class remains on sale. It’s also why the brand is developing a replacement, even after earlier signals that the compact range would be trimmed to focus on higher-margin vehicles. The new crossover-style vehicle is expected to be priced below the GLA, keeping it within reach for first-time buyers and budget-conscious drivers.
Burzer believes there’s still “profitable growth potential” in the compact segment, particularly in Europe. The CLA’s performance seems to back that up, reinforcing the case for a next-gen A-Class that looks and feels different, but keeps the same essential mission.
