Folger added the launch of petrol variants of all Mercedes models in India was to address the uncertainty over the demand of diesel vehicles, though there was no drastic shift in terms of sale of diesel and petrol variants.
He said the company would launch cars compliant with BS-V1 emission norms in 2018 if upgraded diesel is available in India by then. This would put an end to the difference in emissions between diesel and petrol cars, he added.
Folger said some customers believe the GST rollout would increase vehicle prices while others think the prices would come down thanks to GST.
According to him, the company is ready to handle any kind of upside in demand for cars and that its India plant has sufficient capacities to augment production.
"The existing annual manufacturing capacity of 20,000 units can even be doubled to 40,000 by introducing a second shift if demand rises. Lower tax rates will be helpful for the economy as well as for the success of Make In India programme," he added.
Mercedes-Benz would launch the remaining four of its 12 models it plans to release in the current calendar year, he noted.