Daimler faces the challenges posed by the transformation of the automotive industry with a sustainable business strategy. Demand for individual mobility and the worldwide transport of goods and people will continue to grow and will continue to form the basis for the core business as a vehicle manufacturer. The premium market for passenger cars will continue to grow sustainably and faster than the volume market in the future. At the same time, Daimler is consistently committed to CO₂-neutral mobility. In order to achieve the CO₂ targets and to finance the important future fields of electric mobility and connectivity, enormous technical and financial efforts are required. The resulting costs require comprehensive measures to increase efficiency, streamline the company and increase the free cash flow.
Reduction of material and administrative costs and personnel costs
Those measures include the significant reduction of material and administrative costs and the reduction of personnel costs by more than €1.4 billion by the end of 2022. The aim is to cut jobs worldwide in a socially responsible manner, including the reduction of management positions.
Product and electrical offensive
Daimler will continue its product and electrical offensive in the current year: To this end, Mercedes-Benz Cars is launching among others the new S-Class with the latest version of the MBUX multimedia system. In addition, the model range will also include numerous variants with 48-volt technology. The EQA will be the first fully electric SUV compact model to be launched this autumn. Overall, Mercedes-Benz plans to quadruple the share of plug-in hybrids and fully electric vehicles in total sales in 2020. Mercedes-Benz Vans is expanding its product portfolio to include the all-electric EQV van. This is linked to a further increase in the company’s own battery production: Batteries for electric vehicles will be manufactured in nine plants at seven locations on three continents.
