Toto Wolff says he is willing to consider "what the others need" in order for them to close the gap to Mercedes.
Although engine manufacturers are permitted to upgrade their power units during this year's Championship thanks to a loophole, they are limited as to the amount of updates they can introduce.
Next season, though, there will be a complete ban on in-season development.
This is a concern for their three rival manufacturers especially Renault, who continue to struggle, and Honda who are in the midst of a wretched first season back in Formula 1.
As such, Wolff says Mercedes are open to discussing the matter with their rivals.
"With somebody like Honda, through all this struggle, we need to understand and find ways of enabling them to catch up without changing the DNA of Formula 1," he said.
"But this is why we have always been reluctant about in-season development because it comes at a huge cost.
"Ferrari found that loophole, and it was clever how they did it. Now they say they have maybe opened a can of worms because it is expensive.
"So in the last [Strategy Group] meeting we said although that loophole has been closed and it's not going to happen next year – that's how we see it – if Renault and Honda think they need that, then let's discuss it, whether we reintroduce it.
"Commercially it is not the most intelligent we can do, but if it is what the others need, or what they believe they need in order to catch up, then we will certainly consider that."