The Mercedes-Benz G-Class’ high resale value and the global semiconductor chip shortage created the perfect storm for a major price hike. Plenty of used automobiles have skyrocketed in value due to the chip shortage, but the G-Class’ rise in price is unmatched. Here’s how much Mercedes-Benz G-Class SUVs are selling for today.
The Mercedes-Benz G-Class somehow just got even more expensive
If you couldn’t afford a G-Class before, you really can’t afford one in today’s market. The Mercedes-Benz G-Class typically retains its value over time. Thanks to the semiconductor chip shortage, it is now more expensive than ever before.
Semiconductor chips are small electric circuits that exist in most modern electronics and mechanical devices today. Without these chips, most machines and electronics can’t function; thus, the shortage has crippled the automotive industry’s overall supply of vehicles. Scarcity usually leads to significant price hikes.
According to a study conducted by iSeeCars, the average used Mercedes-Benz G-Class saw over a 40% price increase from August 2020 to August 2021. The study states that the new average used G-Class price is over $160,000. To put that number into perspective, a new Mercedes-Benz G-550 starts at around $131,750.
Average used G-Class models are selling for over $28,000 more than the price of a brand new G-Class. Is a used Mercedes-Benz G-Class really worth over $28,000 more than its retail price?
Is the Mercedes-Benz G-Class worth buying?
The Mercedes-Benz G 550 uses a 4.0-liter V8 engine that makes a whopping 416 horsepower. It gets 17 miles per gallon in the city and 19 miles per gallon on the highway. The G-Class has a nice exterior, but the real magic is in the interior.
The Mercedes-Benz G-Class has a refined cabin that uses premium materials. It comes standard with heated leather seats, LED ambient lighting, a 12.3-inch digital instrument cluster, and a 12.3-inch infotainment system. It also comes with three locking differentials for better off-road stability.
The G-Class provides predictable Benz luxury, and it has one of the nicest SUV cabins on the market. No wonder it’s a favorite among celebrities. The G-Class is a status symbol and, as a result, probably isn’t worth its hefty price tag, but it sure is luxurious. The G-Class provides amazing value for those who can afford it. That being said, there are plenty of other luxurious SUVs on the market that cost at least $70,000 less than the G-Class.
How long will the semiconductor chip shortage last?
The biggest issue with the supply of semiconductors is that they are seldom produced in the U.S. Even though the United States is responsible for a large amount of semiconductor chip sales, it usually outsources production to other countries. This has left some automakers virtually helpless. Other companies like Tesla seemed unphased thanks to its advanced over-the-air updates.
Ultimately, the semiconductor chip shortage is bad for the automotive industry as a whole. It could last for years. The United States government is working on the issue, and hopefully, it will be resolved soon. Otherwise, these price hikes will be here to stay.