Mercedes’ upcoming baby G-Class may not be built in Germany after all, with a new report pointing to production in Hungary instead. According to Automotive News Europe, Mercedes is expected to build the smaller G-Class at its Kecskemét plant in Hungary. The company has not officially confirmed the production site yet.
That would be a notable move for one of Mercedes’ most anticipated new models. The smaller off-roader has been teased since 2023, when Mercedes previewed the idea of a more compact and more affordable version of the G-Class.
Mercedes has often referred to the model using a lowercase “g-Class” to separate it from the full-size G-Wagen. Fans, however, have already given it names like Baby G, Little G, and Junior G.
Building the model in Hungary would likely be a cost-focused decision. Kecskemét has lower operating costs than Mercedes’ Rastatt plant in Germany, which had previously seemed like a logical home for the small G-Class because of its expected links to the brand’s compact platform.
A production move like this would not be completely unexpected for Mercedes. Reuters previously reported that the company is shifting A-Class production from Rastatt to Kecskemét, showing how flexible its European production network has become.
Mercedes is also expanding its Hungarian factory, with reports saying the site could become one of the brand’s most important production hubs in Europe.
As for the baby G-Class itself, details are still limited. It is expected to arrive around 2027 and could be offered with both electric and combustion powertrains. A gas version would make the model more accessible, especially in markets where EV demand has been uneven.
It will almost certainly be cheaper than the full-size G-Class, but it probably will not be a budget SUV. Mercedes is likely to position it above models like the GLB, while keeping enough distance from the larger G.
As of the moment, the production site remains unconfirmed. But if the report is proven accurate, Mercedes’ smallest G-Class could arrive with a very different badge story than many expected.