The E320 has been in the Mercedes-Benz lineup since 1994, when the automaker changed the way it designated its vehicles and introduced the E-Class line of mid-size luxury vehicles (in which the E came in front of the number indicating engine size, rather than after it). Available in its earlier years in four-door sedan and two-door coupe models, as well as in a wagon version, the E320 was initially powered by a 3.2-liter inline V6 that produced 217 horsepower. Horsepower was increased slightly to 221 horsepower following the E320's first redesign in 1997 and remained there throughout the model's run.
The E320 helped define the concept of Mercedes luxury in the 1990s and into the 21st century. Right from the start, it was equipped with such luxury features as leather seats, power door locks, a leather-trimmed steering wheel, headlight cleaners, a power sunroof, and a premium AM/FM stereo system (although it would take until 2004 to add a CD player as standard equipment).
The E320 was also distinguished by its high-tech mechanical systems and features. Anti-lock brakes were available right from the start, and side airbags were added as early as 1996. An Electronic Stability Programming (ESP) anti-skid system was added a few years later, and in 2000, the automaker's TeleAid emergency communication and assistance program became standard equipment.
Designed to appeal to a wide range of buyers, Mercedes has offered the E320 in a number of different configurations. Early on a convertible model was offered, as was a version with a diesel engine. The diesel disappeared for a few years starting in the late 1990s, only to reappear in 2005 in the form of the form of a fuel-efficient, 3.2-liter CDI (common-rail direct injection) diesel engine that produced 201 horsepower.
In addition, throughout its run, the E320 sedans and wagons were available with Mercedes' 4Matic all-wheel-drive system, which provided improved handling, stability, and traction in all types of driving conditions.
By 2005, with the 3.2-liter internal combustion engine showing its age, the majority of the E320 vehicles morphed into E350s, with larger 3.5-liter engines that produced 268 horsepower. However, the E320 line continues into 2007 with a Bluetec V6 clean-burning diesel engine, as well as all of the expected luxury features that have defined the E320 throughout its successful run.