In 1954 Mercedes-Benz returned to racing in the current f1 series using the advanced Mercedes-Benz W196 ( pictured ) . This car was run in both open-wheeled and streamlined ( body work that covered the wheels ) forms . In 1954 Mercedes-Benz returned to what was now known as Formula One racing ( a World championship having been established in 1950 ) , using the technologically advanced Mercedes-Benz W196 which was run in both open-wheeled and streamlined forms .