Daimler Truck targets €1bn defence revenue as it launches global military brand

Daimler Truck has launched a new global defence brand and announced plans to invest a mid-three-digit million-euro sum to expand its military vehicle business, as the manufacturer targets €1bn in defence-related revenue by 2028.

The company has established Daimler Truck Defence as a dedicated global brand, bringing together its military activities under a single identity. The move will see the business expand beyond Mercedes-Benz Trucks to incorporate vehicle platforms and solutions from other Daimler Truck brands and operations around the world.

Daimler Truck said it currently employs around 1,000 people in its defence business and expects the expansion strategy to create additional jobs, particularly at its Wörth am Rhein manufacturing site in Germany. The investment programme will focus on increasing engineering, manufacturing, sales and service capabilities to support growing demand for military mobility and logistics solutions.

Karin Rådström, chief executive officer of Daimler Truck, said: “Defence is a key pillar of Daimler Truck’s growth strategy. We are making targeted investments in our production facilities, the development of new solutions, and the expansion of our sales and service network. At the same time, we are leveraging Daimler Truck’s global strengths across regions and brands to scale our defence business significantly.”

Dennis Kinzelmann, chief executive officer of Daimler Truck Defence, said: “Demand for reliable military mobility is growing worldwide. With our global manufacturing network, resilient supply chains, strong partnerships and expanded product portfolio, we can deliver military vehicles and mobility solutions quickly, at scale and with high standards. Through Daimler Truck Defence, we are bringing together the full strength of our global brands and capabilities under one global brand. Our ambition is clear: to become one of the leading providers of military mobility solutions through our global technology and production network. For military personnel in the field, reliability, readiness and support are mission-critical. They remain at the heart of everything we do.”

The company said defence has become an increasingly important growth area and highlighted recent contract wins with the German, Canadian and French armed forces. These include a Canadian programme covering at least 1,500 logistics trucks and a French framework agreement for 7,000 trucks based on the Mercedes-Benz Zetros platform.

Daimler Truck plans to leverage its existing commercial vehicle production network and service infrastructure, which includes around 5,000 service locations across more than 160 countries. The company is also increasing its focus on fleet support programmes, autonomous technologies and modular vehicle platforms designed for military applications.