C-Class picks up decent plug-in hybrid powertrain for MY26 but it isn’t the pick of the range
When it arrived in 2021, the ‘W206’ Mercedes-Benz C-Class was a return to form. Better build quality, forward-thinking technology and a focus on ride comfort over sportiness. At least in the more affordable grades, it proved a mighty sweet package.
One of its key limitations was a lack of choice: no more coupe, no more wagon, with only C200 and C300 powertrains at launch. The range has filled out with AMG versions, and now there’s a petrol-electric plug-in hybrid C 350e, which we have on test.

Priced at $98,200 before on-road costs, the 350e sits at parity with the petrol-only C 300. This seems impressive, as the plug-in packages a 19.5kWh (usable) battery pack for 104km electric range (NEDC — rarely worse than the 115km WLTP) and an electric motor boosting grunt to 230kW and 550Nm, 40kW and 150Nm up on the C 300.
Optional extras are few and far between. All seven colours are no-cost extras with only special ‘Manufaktur’ Patagonia Red and Opalite White attracting a premium ($1600). Standard wheels are the pictured aero-look 18-inch AMG-Line options with handsome multi-spoke 19s $1500 extra.

The only other option to tick is 55kW DC fast-charging, a worthwhile $1500 that gives the C an edge over the slower, AC charge-only Audi A5. Compared to the A5 e-hybrid ($89,900) the C 350 isn’t out of the pricing ballpark, though with Merc’s fixed-price, no-haggle arrangement in Australia the real-world cost gulf is greater.
The plug-in hybrid C 350e steers well enough, providing you don’t ask too much of it. This executive sedan majors on high-speed ride quality, impressive sound insulation and a feeling of solidity.
Smartly, Mercedes-Benz leaned into the wafty goodness of the C-Class, so generally the C 350e rides bumps smoothly without much protest. The steering is well-weighted and accurate; surely a major C-Class highlight.

But the C 350e has a big weight problem. It is, at 2100kg, 467kg heavier than C 300, representing a 30 percent mass gain. Just imagine trying to walk up the stairs carrying a 25kg backpack — that’s essentially what the C-Class plug-in hybrid has to do.
Its quads may have muscled up with a 95kW/440Nm e-motor but the rest of the chassis isn’t up to the task.
Issues rear their head when you ask more of the C-Class around corners and over big bumps. Unlike rivals from Bavaria and Ingolstadt, the C 350e exhibits pronounced body roll through curves and front-to-rear pitch under acceleration and braking.

It is simply too soft in the front end, lacking mid-stroke support it is begging for sophisticated adaptive dampers. This translates to near chin-spoiler scraping understeer and regular bottom-outs on Australia’s nasty country road surfaces.
And considering its extra 40kW/150Nm — peak outputs are a six-cylinder troubling 230kW and 550Nm — the C 350e is disappointingly slower than the C 300 from 0-100km/h, at 6.1 seconds (or one-tenth worse), owing to its less favourable 109kW/tonne power-to-weight ratio.
All the driver assistance aids are excellent, however. The well-judged follow distance and discipline of the C-Class’s adaptive cruise control is leagues ahead of mainstream offerings.

The C 350e’s party piece is its efficient plug-in hybrid system. Starting with 85 per cent charge, we returned 3.2L/100km on our mixed 180km loop. Running in ‘EV’ mode (one of five including Hybrid, battery save, Sport, and Individual) we observed efficiency that would equate to genuine 105km electric-only motorway range.
Blending of the two power sources leaves something to be desired, though, with a vague initial brake feel that gives way to an alarmingly wooden pedal when more punch is needed.

We had an alarming ABS engagement on a smooth, dry piece of tarmac braking into a corner which took longer-than-comfortable to disappear.
If we’re sounding negative on the C 350e, it’s because it adds very little extra to the C-Class recipe, though for comfy and quiet cruising there’s nothing really wrong with this car. It has an air of confidence on the motorway thanks to solid directional stability and brisk roll-on response from the electrified powertrain.
One of the highest compliments paid to the C-Class (and this era of Mercedes-Benz cabin design generally) is the prolific ‘borrowing’ going on at Chinese brands. Chery, BYD, GWM and others have co-opted elements of ‘Benz cabin language, making the poor C-Class feel a little less special — but that’s not its fault!
Any discerning operator will be able to spot the differences immediately in the C-Class’s slick, thickly-padded steering wheel and real metal Burmester speaker grilles that don’t cut your fingers. Helps that the stereo is warm, clear and powerful, too.

The ‘zero layer’ multimedia system is ageing well and remains mostly intuitive — at least for major tasks such as navigation and drive mode settings. It’s nice being able to control the central screen using the touch capacitive steering wheel controls as well. As long as you don’t bump them in motion.
Graphics are bright and legible while the 10.25-inch digital driver’s display offers various read-outs, including a full-screen map, and dial customisation.
Still, the underlying processing power feels slower than, say, a Tesla Model 3 and the system occasionally lags. While driving the C 350e we noted regular Apple CarPlay drop-outs in Sydney, which has motorways peppered with electronic toll gantries.

The C-Class’s transmission selector is behind the steering wheel on the right, freeing up the centre console for storage, opened via a sliding piano black cover. Inside are two cup-holders, two USB-C ports (a third under the butterfly-opening armrest) and awkward-to-access wireless charging pad.
While build quality remains more solid than the previous-gen C-Class, there’s still obvious cost cutting when it comes to secondary materials and finishing. Take the C 350e’s prominent, rising centre stack, which has black, scratchy plastic sides precisely where the knee rests.

The door bins, which offer reasonable stowage space, seem to be missing a trim finishing piece with exposed plastic edges you can feel. And right-hand-drive C-Classes suffer from a cramped footwell and inadequate footrest — these elements don’t shout ‘luxury’.
Cabin customisation is offered with pictured black available alongside white and tan colours of ‘Artico’ synthetic leather upholstery. The seats are power adjustable, very supporting and come with three-stage heating but the black imitation cow-hide gets hot and sweaty in Australian summer. It’s a shame seat ventilation is not an option.

Back seats in this mid-size premium class have never been tall-folk friendly but the C 350e does an admirable job. Under-thigh support is good, as is the comfy backrest though the prominent transmission tunnel means it is best capped at four occupants.
Amenities include two air vents plus odds-and-ends pocket (which combined look a bit like Bender from Futurama) and a fold-down arm rest with cup-holders that doubles as a ski-port pass-through.

In the C 350e, the battery does not encroach on back seat room but it does into boot space, at just 315L it’s smaller than an Audi A5 (331L) and BMW i4 (470L). Plus, in maintaining a traditional saloon body, the C-Class has a narrow, awkward loading aperture compared to trendy liftback rivals.
The C 350e does not come with a full-size or space saver spare tyre, and with no underfloor storage the tyre mobility kit has to sit in a netted pocket located in the boot space wall.
Worth mentioning here that servicing the C 350e is a costly affair, too. At $6890 over five years, it’s approaching, if not more than, double its key rivals. Intervals are lengthy at 12 months/25,000km and the warranty is five years and unlimited kilometres.
Budget Direct told us the median annual premium purchased for the first time between 1/2/25 and 1/2/26 to comprehensively insure a new Mercedes-Benz C-Class was $1936. Individual circumstances and policy terms may vary.

Of course, everybody’s situation is different, and the premium will vary according to make and model, and other things insurers take into account, such as your postcode, driving history, who drives the car, where you garage the car and more.
Please quote for yourself. Subject to meeting underwriting criteria. Insurance issued by Auto & General Insurance Company Limited. See PDS & TMD at budgetdirect.com.au.
If you can charge at home and have up a circa 100km return trip to work down a straight, fairly smooth road then the C 350e makes some sense. Especially if you also enjoy the occasional road-trip.

Truth is, though, the Mercedes-Benz C 350e has limited appeal. It’s a niche proposition in a country like ours without tax concessions for its specific enviro-credentials.
In Europe, such subsidies exist giving those who lease (on-paper) low carbon emitting plug-ins like the C 350e delectably low monthly repayments. As it stands, most Australians will be better served by the sweet, entry-level C200.
Key specs (as tested)
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