Not to interrupt all the doom and gloom, but there is also widespread economic uncertainty in most major markets where people don't want to spend unnecessary money on things like cars. Notice how there aren't any car manufacturers who are having a good time right now. Nissan and Honda are contemplating a merger, Toyota is struggling. Stellantis is lol, and so on.
Kissing the EUs ass is basically irrelevant, because environmental objectives are necessary even if we don't like them.
And what did you expect with China? For the German's to ignore one of the biggest markets in the world?
Mercedes could make the best £80,000 car in the world, but there still would be reduced appetite to buy it.
India is a big market as well and yet I didn't see Mercedes giving India the same level of attention that they favoured China. Anyway, all those years of poor reliability, arrogant customer (lack) of car and caving in to European Union unrealistic emissions standard will eventually bite Mercedes in the ass. And deservedly so.