Daimler: Billion of Euros in Mercedes electric fleet and battery production

Daimler plays a leading role in automotive connectivity, autonomous, shared & services and electric vehicles, taking now the next step towards securing its CASE corporate strategy.

The combination of the individual fields plays a decisive role, especially in the transformation to electric mobility.

Dr. Dieter Zetsche, Chairman of the Board of Management of Daimler AG and Head of Mercedes-Benz Cars:

Our electric offensive continues to gain momentum. After investing billions of euros in the development of the electric fleet and the expansion of our global battery network, we are now taking the next step: with the purchase of battery cells for more than 20 billion euros, we are systematically pushing forward with the transformation into the electric future of our company. We plan a total of 130 electrified variants at Mercedes-Benz Cars by 2022. In addition, we will have electric vans, buses and trucks.

The company is investing ten billion euros in the expansion of the Mercedes-Benz Cars electric fleet and another billion euros in the global battery production network within the worldwide production network.

With extensive orders for battery cells until the year 2030, we set another important milestone for the electrification of our future electric vehicles of the EQ product and technology brand. In this way, together with our partners, we ensure the supply of our global battery production network today and in the future using the latest technologies – says Wilko Stark, Member of the Divisional Board Mercedes-Benz Cars, Procurement and Supplier Quality since October 2018. The suppliers are already producing battery cells in Asia and Europe and are continuing to expand in Europe and additionally in the USA.

Mercedes-Benz Cars battery production network

Daimler is investing more than one billion euros in a global battery production network within the worldwide production network of Mercedes-Benz Cars. The company purchases the cells on the world market. This ensures the best possible technology and focuses on the core competence of battery assembly. The global battery production network of Mercedes-Benz Cars will in the future consist of eight factories on three continents. The first factory in Kamenz is already in series production and the second factory there will start series production at the beginning of 2019. Two more factories will be built in Stuttgart-Untertürkheim, one at the company’s Sindelfingen site, and one each at the sites in Beijing (China), Bangkok (Thailand) and Tuscaloosa (USA). The local production of batteries is an important success factor in Mercedes-Benz Cars’ electric offensive and is decisive for meeting the global demand for electric vehicles flexibly and efficiently.

As an integral and important element of our electrical strategy, competences for the technological evaluation of cells as well as research and development activities will be consistently expanded. These include the continuous optimization of the current generation of Li-ion systems, the further development of cells bought on the world market and research of the next generation of so-called post-lithium-ion systems.

Mercedes-Benz Cars electric offensive

By 2022, the entire Mercedes portfolio is to be electrified, with various electrified alternatives available in every segment, from the smart to the SUVs. In total, there will be well over 130 variants, from the 48-volt electrical system to EQ Boost and plug-in hybrids and more than ten all-electric vehicles powered by batteries or fuel cells. By 2025, sales of battery-electric vehicles are to increase to 15-25 percent of total unit sales – depending on individual customer preferences and the development of the public infrastructure.