Mercedes-AMG Acknowledges Overestimating Interest in Four-Cylinder C63
Mercedes-AMG has officially ended the production of the four-cylinder C63, marking the end of this chapter for the flagship C-Class variant. Instead of a direct successor, AMG plans to introduce a C53 model featuring a six-cylinder engine, which, despite having more cylinders than the C63’s four, still falls short of the previous V8’s power output. The move is largely driven by the need to comply with the stringent Euro 7 emissions standards, which the electrified four-cylinder powertrain cannot meet.
Despite the decision not being directly tied to poor sales, AMG's leadership admits that they misjudged the market's enthusiasm for a four-cylinder C63. Michael Schiebe, the outgoing CEO, told Auto Motor und Sport that the company had anticipated a higher level of acceptance, especially in critical regions like the United States.
"Previous strategic choices were made under different assumptions, and we believed there would be a broader embrace of this engine configuration. However, market response has shifted considerably," Schiebe explained.
Schiebe has been open about AMG’s challenges with customer expectations. Earlier, he acknowledged losing some V8 loyalists and admitted that AMG could have done a better job communicating the benefits and technology behind their hybridized four-cylinder engines.
From July 1, Stefan Weckbach, formerly of Porsche’s Taycan program, will take over as AMG’s CEO. Schiebe will continue to serve on the board, focusing on production, quality, and supply chain management.
Although the C63 with its 2.0-liter engine is being phased out, the M139 engine will remain in use for the A45 hot hatch, which will continue production for several more years. Production of the A-Class will transition from the Rastatt factory in Germany to Mercedes’ plant in Kecskemét, Hungary, where assembly will continue until around 2028.
Meanwhile, the longitudinal M139l variant is expected to be discontinued in the GLC 63. It is anticipated that Mercedes-AMG will introduce a GLC 53 equipped with the same inline-six engine found in the C53, identified as the M256M, which currently delivers about 443 horsepower in the CLE 53 Coupe and Cabriolet models.
The premature retirement of the C63 highlights that raw output figures don’t always guarantee market success. Despite being more powerful than its V8 predecessor, the hybrid four-cylinder failed to capture the excitement generated by the traditional twin-turbo V8.
While engineers argue that newer technology can replace engine displacement, ultimately, it is buyers who determine whether they prefer a large internal combustion engine or a complex, hybrid-assisted smaller unit.
The upcoming V8 engine under development by AMG is expected to attract customers back to the brand’s showrooms, but it won’t be used in the C-Class. Instead, AMG plans to reserve this new powerplant for larger vehicles, including a performance-focused CLE model.
