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Mercedes-Benz: the German manufacturer does not rule out diversifying into the defense industry

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The wars that are shaking the world, whether armed or commercial, could well cause people to change their minds. Mercedes-Benz. In an interview with the Wall Street Journal, reported by BFMTV, the chairman of the board of Mercedes-Benz, Ola Källenius, explains that he does not exclude diversify the group’s activities in defense : “The world has become more unpredictable, and I think it is abundantly clear that Europe needs to raise its defense profile.” He adds that “If (they are) able to play a positive role in this area, (they would be) ready to do so.”

A statement which must be put in context. The United States has initiated a withdrawal in its involvement in European defense. France, the only country in the European Union to have nuclear weapons since Brexit, has begun to outline a European defense, but Germany also wants to play a role. Especially since the Russian threat has been growing since the invasion of Ukraine in 2022. So, the German defense industry is growing, notably with Rheinmetall.

The automobile industry is under attack

But it is not only the war that pushes German automobile manufacturers, such as Mercedes-Benz or Volkswagen, to take an interest in the defense industry. Faced with US customs duties and à la Chinese competitionthe automobile market is at half mast. Manufacturers are therefore considering diversifying into this booming market.

Especially since, according to a spokesperson for the group, Mercedes-Benz “has for many years been supplying chassis to specialist companies who equip them and market them under their own responsibility and under their own brand for military applications.” She adds to AFP that their “activities in the field of security and defense constitute a strategic development axis (which they will continue) to actively develop, in collaboration with (their) partners”.