Mercedes-Benz has announced it will continue to invest in electric vehicles (EVs) despite the ongoing disruptions to supply chains from the Russian invasion of Ukraine.

The German carmakers Chief Executive Ola Kaellenius made the announcement at the opening of its first EV battery factory in the US.

The materials used in EV production including nickel, aluminium, palladium and lithium have soared in price, as supplies have become strained with ongoing sanctions.

Other manufacturers such as Tesla have increased the price of their cars in response but Kaellenius has stressed Mercedes’ financial plan for the coming year won’t be impacted.

He commented: “We always protect the investment into future technology and future products. Not even in COVID year of 2020 did we cut back on R&D for crucial projects.”

“There is only one Mercedes-Benz and that one company sooner than many people think will be an all-electric company,” he commented.