Daimler Truck integrates defense brand, targets €1 billion revenue by 2028
2026-06-17 10:51
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en.Wedoany.com Reported - German commercial vehicle manufacturer Daimler Truck Holding AG announced in June 2026 that it will consolidate all global military-related operations under the new brand "Daimler Truck Defence," with a target of achieving €1 billion in annual revenue for this business segment by 2028. In 2025, Daimler Truck Group's total revenue was €49.5 billion, with military business revenue amounting to several hundred million euros; the group's net profit fell by 34% year-on-year to €2 billion. This strategic shift is seen as a key move by the group to find new growth drivers amid pressure on its traditional commercial vehicle business.

Headquartered in Leinfelden-Echterdingen, Germany, Daimler Truck is a leading global commercial vehicle manufacturer, owning brands such as Mercedes-Benz Trucks, Freightliner, Western Star, FUSO, and BharatBenz. Dennis Kinzelmann, CEO of Daimler Truck Defence, stated that global demand for reliable military mobility is growing. According to disclosures, the group currently employs approximately 1,000 people in defense-related operations. The new brand will integrate product resources from multiple international brands under the group, including Mercedes-Benz Trucks, Western Star, and BharatBenz, to create a global military vehicle platform covering Europe, North America, and India.

In terms of technology strategy, Daimler Truck adopts an approach of developing military versions based on mature civilian models, leveraging chassis, powertrain systems, and supply chains already proven in construction, agriculture, and disaster relief to reduce R&D costs and risks. The Wörth am Rhein plant in Rhineland-Palatinate will serve as the core base for this expansion. This plant is one of the largest truck production facilities in Europe, employing between 9,700 and 11,000 people. Over the next few years, the Wörth team will add more than 100 new jobs. Additionally, the group plans to invest several hundred million euros to expand R&D, production, sales, and after-sales service capabilities.

Daimler Truck's major push into the defense business comes as its traditional operations face multiple pressures. In 2025, due to weak demand in the North American market and tariff policies, the group's revenue fell by approximately 9% year-on-year, with a sharp decline in net profit. Daimler Truck CEO Karin Rådström stated that the defense business is a key pillar of the group's growth strategy. The shift from automotive to defense is not an isolated case; over the past two years, several European industrial companies have begun to restructure their defense operations. Daimler Truck plans to increase the annual revenue of its defense business to €1 billion by 2028, which will help reduce its reliance on cyclical fluctuations in the North American commercial vehicle market.

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