2025 Mercedes-Benz GLC200 review: Australian first drive

Mercedes-Benz has introduced a new cut-price variant of its GLC mid-sized luxury SUV, reintroducing the GLC200 entry-level grade to the GLC-Class after it was dropped in the changeover to the new generation in 2023.  

Mercedes-Benz controversially dropped all but one variant (GLC300) when the current X254-generation GLC was introduced, but it has since rebuilt a wider range of offerings in the AMG GLC43, AMG GLC63 S E Performance, and now the entry-level GLC200.

The GLC200 comes at a $16,100 discount compared to the GLC300, but loses out on some features and now uses a detuned 2.0-litre turbocharged engine. That said, power is still sent to all four wheels and mild-hybrid assistance is still employed to curb fuel use.

This discount on the Mercedes-Benz GLC brings it far closer in price to its main rival, the BMW X3, which was recently relaunched with a new generation. Stay tuned for a comparison between those two German heavyweights, but for the meantime, here’s our first look at the 'affordable' Mercedes-Benz GLC200.

Previously, the only option in the Mercedes-Benz GLC range was the GLC300 priced from $105,100 before on-road costs.

The decision to slim down the range to a single variant was a bizarre one, but we’re glad to see the return of the GLC200 variant priced at $89,000 before on-road costs.

Buyers taking delivery before the end of the financial year will be able to secure one for $95,500 drive-away.

However, you can add options. There’s a $6000 Sport package (this is fitted to our tester) that adds AMG Line styling inside and out, 20-inch AMG alloy wheels, body-coloured wheel arches, and Anthracite linestructure wood dashboard trim among other goodies.

Our car missed out on the $7600 Plus package that adds bits such as a Burmester premium sound system, lane-following assist, emergency steering assist, digital LED matrix lights, and augmented-reality navigation. However, this is a pricey package to be adding, so perhaps it’s best left alone.

Otherwise, the GLC200 gets a surprisingly decent amount of equipment for a base variant. This means the full 11.9-inch infotainment screen plus 12.3-inch digital driver’s cluster, adaptive LED headlights, wireless phone charging, panoramic sunroof, 360-degree cameras, ambient interior lighting, and ‘Artico’ leather-look upholstery.

Powering the GLC200 is a 150kW/320Nm 2.0-litre turbocharged four-cylinder petrol engine – down from 190kW/400Nm in the GLC300 – matched with the same nine-speed automatic transmission and all-wheel drive.

It utilises a 48-volt mild-hybrid system that can add 17kW/205Nm of extra oomph under hard acceleration, otherwise it allows for the petrol engine to turn off and coast in order to save fuel.

Regarding the GLC200’s competitors, we’re currently waiting for the next-gen Audi Q5 to hit Aussie showrooms, so we’ll discount that rival for now and hone in on the BMW X3.

The like-for-like rival there is the X3 20 xDrive priced from $86,100 before on-road costs. It offers similar levels of equipment in some areas, but trades blows with the Mercedes-Benz GLC200 on certain other equipment boasts – stay tuned for a full comparison.

Find your nearest retailer to check out the GLC200 in the metal and evaluate all the interior options and colour choices.

The Mercedes-Benz GLC200’s cabin is remarkably similar to that of the GLC300. This is what we call ‘getting off on the right foot’, because the GLC300 set a high watermark when it launched two years ago.

One key point is the fact that our car featured the optional Sport package that adds a sports steering wheel, sports seats, and AMG trim inside the interior. It makes a huge difference in elevating the interior look and feel, and is worth adding if you can afford to splurge $6000 extra.

Materials use is done to a very high standard and the cabin ambience is top-notch. There’s a lot of light let in by the sunroof, while ambient lighting plays a hugely entertaining part once daylight is lost.

Everything falls ergonomically to hand – including the power seat switches up on the door card, gear selector stalk on the steering wheel, and touchpad controls for the screens by your hand positions on the steering wheel.

And there’s copious storage about the front seats including a retractable centre console lid, a dual-door centre console bin, wireless charger, and big door card pockets. It gets a set of cupholders in the fold-down centre armrest, but it's not an intuitive solution and I'd much prefer slots next to the air vents.

The interior smells luxurious – despite the synthetic leather upholstery – and the seats themselves proved comfortable and as though they’re built to last the distance.

I had plenty of space behind my own driving position when seated in the second row (I’m 194cm, or 6ft 4in tall), plus there were air vents, cupholders, map pockets, and ambient lighting to keep me company.

At the boot, the GLC scores a kick-sensor electric tailgate that opens to a 620-litre space. The seats fold in a 40/20/40 format thanks to handy remote rear-seat releases in the boot, and there’s a cargo cover to hide away your luggage. The GLC200 stocks a space-saver spare wheel.

Mercedes’s 11.9-inch portrait-mounted infotainment screen runs the latest MBUX software and its operation is slick and feature rich. It’s not quite as confounding as what you’ll find in an equivalent BMW, which is a win for user experience.

There’s digital radio DAB+, satellite navigation, Bluetooth connectivity, and Mercedes Me connectivity that unlocks a range of phone-activated features such as remote unlocking, vehicle diagnostics, and location tracking.

However, I spent the majority of my time with the car running wireless Apple CarPlay (Android Auto is also included).

Maps display beautifully on the big screen in portrait fashion, plus navigating your way around various settings and menus is pretty straightforward.

The climate controls are basically hard-coded to the bottom of the screen – it’s only fine-tuning where you’ll need to dive into the climate menu properly. There’s good adjustability of the driver’s 12.3-inch cluster screen and head-up display, which means that you can view varying information in an array of graphical layouts.

The GLC200 variant is covered by the same five-star ANCAP rating that was awarded to the GLC300 in June 2023.

This includes a 92 per cent score for adult occupant protection, 92 per cent for child protection, 74 per cent for vulnerable road user protection, and 84 per cent for safety assistance systems.

Although the GLC200 includes all the high points for active safety features buyers expect from the prestige segment today, it does miss out on some inclusions that are standard on the GLC300.

It doesn’t have lane-centring for the adaptive cruise-control system and intersection detection for the autonomous emergency braking system.

In my time with the car, I did notice myself missing the lane-centring technology that is basically expected on cars half the GLC200’s price. It seems cheeky to remove this feature, but I probably wouldn’t step up to the GLC300 because of that.

The adaptive cruise control worked fine in my experience, and it’s nice that there are no intrusive aspects such as driver behaviour monitoring.

Mercedes-Benz provides a five-year/unlimited-kilometre warranty for its vehicles, the same as BMW and Audi in Australia.

The service innings are longer, stretching 25,000km or 12 months (whichever occurs sooner), but the service pricing is astronomical.

Service packages are offered upfront at the point of purchase for three-, four-, or five-year plans. They cost $3400, $4690, and $7350 respectively. This is more than twice as expensive as the BMW X3 at $2475 over five years.

Insuring the GLC200 on a comprehensive cover policy costs $2586 each year. This is a comparative quote for a 35-year-old male driver living in Chatswood, NSW. Insurance estimates may vary based on your location, driving history, and personal circumstances.

Although the Mercedes-Benz GLC200 is less powerful than its GLC300 counterpart, it’s also less thirsty. What you miss out on with reduced power outputs is made up for with a more frugal fuel efficiency.

Mercedes-Benz claims fuel consumption of 7.5 litres per 100 kilometres, and a 0–100km/h acceleration time of 7.8 seconds – compared to 7.7L/100km and 6.2sec for the GLC300.

In my time with the car, I primarily covered suburban kilometres that returned an 8.0L/100km rating. Do note, the 62-litre fuel tank only takes 95-octane premium unleaded as a minimum.

Whereas BMWs typically err further on the side of performance than luxury, the experience in the Mercedes-Benz GLC200 is one of sumptuous comfort. There's no real underlying sense of sportiness that permeates the 200 driving experience, especially with its detuned powertrain.

The 150kW/320Nm are plenty powerful enough for the car's near-two-tonne body, and acceleration from zero to 100km/h in just under eight seconds is swift enough for motoring up to a freeway speed limit. Its nine-speed automatic transmission is quick to respond to sudden throttle inputs and feels out the right ratio when running up hills too.

The best attributes of the driveline are the fact that it's smooth, comfortable and refined. This is the exact experience you'll get from a GLC300, and it's great to see it reflected in its more affordable alternative.

The 4Matic all-wheel-drive system proved capable of putting power down to the ground – even around tight switchback bends on our test route – and the Continental EcoContact tyres gripped the road surface equally as well.

The GLC200 uses a 2.0-litre turbocharged four-cylinder engine, but it also draws extra power from a 48-volt mild-hybrid system that can add up to 17kW/200Nm under hard acceleration. In practice, this makes the GLC200 a spritely thing for overtaking. It also means the car can save fuel under coasting conditions, because it's able to switch the petrol engine off.

The way the engine is able to very imperceptibly switch on and off at a standstill is also brilliant. It means the usual frustrations surrounding start-stop systems aren't experienced in the GLC200. Leaning into this is the nine-speed transmission's smooth shifts.

There's a tight-enough turning circle of 11.8m, which means the GLC200 is easily manoeuvred into car parks around town, made easy with a light steering weight. However, there's not much in the way of feel through the system.

Various driving modes, in addition to critical driving settings, are accessed through a physical button beneath the screen. The GLC gets an individual driving mode where you can change your own settings, or it also has an off-road mode where the car will prime itself for light-duty off-road use.

No matter whether you're on a freeway or on city streets, cabin vibrations and noise levels are hushed to a quiet measure. No real wind noise is heard from the outside and you're not hearing anything coming from the wheels either.

One of my favourite aspects of the GLC200 experience is its ride comfort. It's a soft-tuned setting that is composed over all kinds of bumps, whether they're small imperfections or large speed humps. The soft bump absorption is similar to the W206-generation C-Class, which could exhibit a tendency to bottom out, but with the GLC's increased ride height it means the GLC's ride is soft and compliant without the same effect.

This latest Mercedes-Benz GLC variant comes at a substantial discount compared to the existing GLC300, and I found it hard to identify the areas in which it's lesser than its more expensive counterpart.

Yes, it's less powerful, and yes, it's missing some handy equipment like lane-centring, augmented-reality navigation, and AMG Line as standard. But these are small concessions I'd rather live with while being content with an extra ~$16,000 in my back pocket.

There's still plenty of shove from its 2.0-litre turbo engine, power still goes to all four wheels, and you still get a huge array of equipment – the GLC200 experience doesn't feel shortchanged.

Tom started out in the automotive industry by exploiting his photographic skills but quickly learned journalists got the better end of the deal. With tenures at CarAdvice, Wheels Media, and now Drive, Tom's breadth of experience and industry knowledge informs a strong opinion on all things automotive. At Drive, Tom covers automotive news, car reviews, advice, and holds a special interest in long-form feature stories.

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