A BMW Engine Could End Up Powering Your Next Mercedes-Benz

It may be hard to fathom two archrivals joining forces or agreeing to share their precious resources, but this is what happens from time to time. Think of Ford and General Motors with their jointly developed 10-speed transmission.

Mercedes-Benz and BMW could be next. Seriously. According to British publication Autocar, which cites a source close to the former, the top two German manufacturers have entered into advanced talks about sharing engines.

To be more specific, Mercedes-Benz is reportedly considering using BMW's turbocharged 2.0-litre four-cylinder (B48) engine in several models despite already having such a unit in its lineup, ironically. An announcement to this effect could come by the end of 2025 if the deal works out. For the time being, of course, neither manufacturer has publicly commented on this information.

Photo: Guillaume Rivard

The Autocar report suggests that BMW engines could be used in a variety of applications, from small crossovers like the GLA and GLB to sedans like the CLA and C-Class to larger vehicles such as the GLC and E-Class. Another possibility could be the future little brother of Mercedes-Benz's iconic G-Class off-roader.

But what's the point of all this? Clearly to save money on research and development, as Mercedes-Benz is faced with the need to drastically cut its spending. Oddly enough, the new turbocharged 1.5-litre four-cylinder for the upcoming gas-electric variant of the new CLA is reportedly not designed for use in a plug-in hybrid vehicle or as a range extender in an electric vehicle.

Photo: Mercedes-Benz

Partnering with BMW could also help Mercedes-Benz comply with the Euro 7 emissions standard, which is due to come into effect in late November of 2026. However, the story is unclear as to how BMW would benefit from such a partnership, other than financially.

We’ll keep you posted as usual. As a reminder, Mercedes-Benz is currently working on a next-generation V8 with mild hybrid technology as it prepares to launch its biggest product and technology offensive in history, with approximately forty completely new or redesigned models globally by the end of 2027.

Watch: The Car Guide Drives the 2025 Mercedes-AMG CLE 53

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