Codenamed W212, the new model range is planned to debut at the 2009 Frankfurt Motor Show which includes a new Coupe version which will replace the current CLK.
The E-Class range will boast a revised engine line-up, including petrol and Bluetec diesel units with an entry-level 1.8-litre turbocharged 4-cylinder petrol unit and a new 2.2-litre turbo diesel.
A flagship AMG model will compete directly with its BMW M5 rival, boasting a 6.3-litre V8 engine with over 373kW of power.
An Estate model will also be included in the line-up, drawing its inspiration from the ConceptFascination model which made its premiere at the Paris Motor Show.
The next E-Class will share many characteristics with the S-Class including the wheel-arch extensions, rising character line below the door handles, massive bumpers, and greenhouse.
Driver assistance aids will play a major role in the new E-Class, boasting lane-departure warnings, an eye-movement monitor, traffic-sign identification, road-condition sensors, and stability control that accounts for crosswinds, camber changes, and tire wear.