The Mercedes A-Class Is Becoming a Crossover-Minivan by 2028 — and Moving Production to Hungary

What is changing

For almost thirty years, the A-Class has been Mercedes' most affordable way into the three-pointed star: first a tall, slightly odd mini-MPV, then a compact sedan, and since 2018 a premium two-box hatchback going head to head with the Audi A3 and BMW 1 Series. According to a string of converging reports published between January and May 2026 by Quattroruote, Electrive, Carscoops, HDmotori and Autoblog, that chapter is closing by 2027-2028: the current generation, codenamed W177, will end production, and in its place will come a genuinely different model, something between a crossover and a minivan.

This is not a simple facelift. Mercedes is said to be rethinking the entry point to its lineup from the ground up, dropping the classic hatchback body for a taller shape that borrows a minivan's interior space and a crossover's raised stance. In a way, it is a return to the spirit of the very first A-Class from 1997, which was built around interior height and practicality rather than sporty proportions.

Why Mercedes is changing course

The decision comes from two converging pressures. On one side, compact electric crossovers from Chinese and European rivals are eating into premium hatchback sales across Europe. On the other, Mercedes needs to differentiate its entry-level offering from the new CLA, the compact electric-and-hybrid sedan already on sale, with which a like-for-like next A-Class would otherwise overlap too closely. The new model, according to Quattroruote and Autoblog, is aimed at a slice of the market German rivals have left largely uncontested, going up directly against the Volkswagen ID.3, the Renault Megane E-Tech and Chinese electric city cars such as the BYD Dolphin, while also echoing persistent rumors of an electric Audi A2 revival.

What the new A-Class will look like

The new model will be built on the MMA (Mercedes Modular Architecture) platform, the same one already underpinning the new CLA and coming to the next GLA. MMA is a natively electric platform, with 800-volt architecture for battery versions, but it was designed from the outset to also accommodate 48-volt mild-hybrid powertrains — a pragmatic hedge given how EV demand has cooled in several European markets, Italy included.

According to Quattroruote and Autoblog, the European starting price should sit around 35,000 euros, confirming Mercedes' intent to keep this car as an accessible entry point to the range; outlets such as Auto Express and Mercedes-world.com note, however, that no official figure has been confirmed by the automaker yet. The commercial launch is expected between 2027 and 2028 depending on the source: Quattroruote points to a 2028 unveiling, while other reports place the on-sale date as early as late 2027.

Production is moving to Hungary

One detail that matters directly to current A-Class owners and shoppers: according to Electrive and Carscoops, production is already shifting from the historic Rastatt plant in Germany to Mercedes' Kecskemét factory in Hungary, starting in the second quarter of 2026. That is the same Hungarian plant that already builds the CLA and GLA. Rastatt, per the same reports, is set to be repurposed for other group production. Current-generation output at Kecskemét is expected to continue through 2027, ahead of the switch to the new model.

The B-Class exits first

While the A-Class gets a second life, however transformed, its larger sibling will not be so lucky: multiple sources agree the compact B-Class minivan will leave production by 2026 with no direct successor planned. It is a further sign of how thoroughly Mercedes is redrawing the bottom of its lineup around a single entry model instead of the two distinct body styles it has offered until now.

What this means if you are buying today

For anyone weighing an A-Class purchase, new or used, this transition period has real practical consequences. Buyers chasing a brand-new current-generation W177 hatchback will likely see wider negotiating room over the next 12 to 18 months, as the dealer network clears out the last units of the outgoing generation — a pattern that repeats almost every time a volume manufacturer announces a body-style change. Shoppers looking at the used market, meanwhile, find 2018-2026 A-Class examples with prices already depreciated off the new-car sticker and a well-documented, well-understood mechanical package, a real advantage over the unknowns that come with an all-new platform and body style.

There is also a residual-value angle worth considering. Once the new crossover-minivan debuts, today's two-box A-Class effectively becomes the last compact premium hatchback Mercedes will build in this format — a status that has historically helped keep resale values on well-kept examples more stable, a pattern seen before with other models nearing the end of a body style before a radical segment shift. If a classic compact hatchback with the three-pointed star is the goal, buying now and enjoying it for a few years before it disappears from the price list is probably the right call; if the new crossover-minivan formula is genuinely what appeals, budget for a wait until 2027-2028. Either way, this transition window is a good moment to shop calmly across more listings, check service history and battery health on the plug-in hybrid versions, and negotiate on price before the supply of new units starts to thin out.

Sources

1. Quattroruote, La Classe A avrà un'erede: nel 2028 arriva un crossover un po' Suv un po' minivan, February 10, 2026
2. Quattroruote, Mercedes Classe A 2028: ibrida ed elettrica, il ritorno della compatta, May 25, 2026
3. Electrive, Mercedes to introduce new A-Class on MMA platform, February 10, 2026
4. Carscoops, Mercedes Keeps Its Most Affordable Model Alive, But It Won't Be German Soon, January 2026
5. HDmotori, Mercedes Classe A: e se arrivasse in futuro un nuovo crossover al suo posto?, February 2026
6. Autoblog.it, Mercedes, mini crossover al posto della Classe A: sarà economico, February 2026