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Can a Model S be towed by an SUV?

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Outside fuel costs and it being more difficult to haul? Should be doable. You can pick up a U-Haul auto transport, weighs 2,210 lbs according to U-hauls site. Plus the Model S curb weight of around 4,700 you are looking at 6,900 lbs. Another quick google pulled back a tow capacity of 7,500 pounds on a 2015 GL550.
 
Tesla states that doing anything other than flatbedding it is a no-no. But some people don't want to listen to that, and hence we have the Russian video.

Assuming you had to, I would pull it on a lightweight trailer, myself. When I moved from California to Illinois in 2000, I pulled a trailer with my Buick sedan behind my Suburban... it worked fine.

Just make sure your towing capacity is enough (I don't know what the Mercedes G permits)... Model S + trailer is likely to be about 6k lbs.

As you noted, it may be less expensive to just ship the SUV - in my case, my rental was nearly free so all I paid was gas.
 
I don't think your SUV will be able to tow the trailer and your model s. It's not that the SUV does not have the capacity. It's more that the payload of the SUV cannot safely tow the weight.

The S plus the trailer and you are very close to the max capability of your SUV. Your SUV can tow 7500 lbs and the s plus the trailer is closer to 7000 lbs. uhaul flatbed trailers are heavy.

Your MB has a limited payload capacity, far less that most trucks that have a 1500 lbs capacity. So you will end up with the front end up high creating an unsafe towing situation. First bump and your front wheels can easily be lifted off the road and you will loose control.

I have towed a lot over the years with trucks and SUV. I would highly not recommending towing a heavy car like the Tesla with your SUV.