The new ML350 comes standard with cloth in the US. Why they do that is a mystery because is seems like to add any other option requires leather seats. So you step up to the bar and order leather, but be careful because what you are getting is partial leather (leather inserts). If you want full leather you have to bump up to the premium package (ML500's, you too). Big step back. On the 163 if it looked like leather, it was leather. Even the seat back pockets were leather (not that it mattered, the elastic was soon to stretched out). Just a strange place to cut corners. Retail upholstery leather is about $5/sq. ft. MBâ€™s cost is likely half of that, probably much less (on the 163 they cut corners and used a 2nd tier leather supplier). The difference between partial and full leather probably 3 sq. ft. per seat or $7.50. Times 5 seats you come to $37.50 to get full leather, and it is far likely to be far less. A strange place to cut corners.