July 30 (Reuters) - Mercedes-Benz will pause

deliveries of its EQ electric range to the United States and cut

prices of new EQ models there, the carmaker said on Wednesday,

responding to slowing demand and high inventories at

dealerships.

Since President Donald Trump's spending bill earlier this

month cut tax EV credits sooner than anticipated, analysts have

warned that the U.S. EV market would underperform expectations

this year.

During the pause, Mercedes will run down EQ inventories in

the U.S. and also supply cars made in its plant in Tuscaloosa,

Alabama.

The company also said it would cut the base price of its EQE

and EQS sedan and SUV models in the U.S. between 4% and 16%

starting with the 2026 model year, excluding delivery charges.

Mercedes CEO Ola Kaellenius told reporters on Wednesday that

despite the slower trajectory, he expected U.S. consumers to buy

more battery electric vehicles (BEVs) over time.

Presenting the company's second-quarter results, he said:

"We don't believe that the BEV demand in the United States goes

to zero: we still think that the medium to long-term adoption

rate of BEVs in the U.S. will creep upwards."

The carmaker said in February that it would make more petrol

and diesel cars than EVs in its new product range. It said it

was targeting 19 new combustion engine models and 17 BEVs by the

end of 2027, after its BEV sales dropped by a quarter last year.