Daimler Truck is significantly expanding its presence in the global defence sector with the launch of a dedicated worldwide brand, Daimler Truck Defence, as the commercial vehicle giant seeks to capitalise on rising demand for military mobility and logistics solutions.
The company said the new brand will consolidate its defence activities under a single global identity while enabling it to leverage capabilities across its vehicle portfolios and brands. Daimler Truck has set a target of generating €1 billion in defence-related revenue by 2028.
Defence emerges as key growth pillar
Daimler Truck views defence as a strategic growth driver and plans to invest a mid-three-digit million-euro amount over the coming years to strengthen engineering, manufacturing, sales and service capabilities.
The investments will support the development of a broader military vehicle portfolio and enhance the company’s ability to execute defence programmes at scale.
Currently, around 1,000 employees are engaged in Daimler Truck’s defence business, with much of the growth strategy being driven from its Wörth facility in Germany. The expansion is also expected to create demand for additional highly skilled professionals.
Daimler Truck CEO Karin Radstrom 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.”
Unified brand to boost global reach
With the launch of Daimler Truck Defence, the company aims to establish a stronger global market presence while offering governments and armed forces a single point of access to military mobility solutions.
Initially centred on Mercedes-Benz Trucks, the portfolio will progressively incorporate products and solutions from other Daimler Truck brands and vehicle platforms across different markets.
The company believes the unified structure will unlock synergies across products, brands and business units while improving operational efficiency.
Daimler Truck Defence CEO Dennis Kinzelmann said: “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.”
Manufacturing footprint supports expansion
Daimler Truck said its growth strategy is backed by an extensive industrial footprint and manufacturing expertise developed through its commercial vehicle operations.
Its defence manufacturing activities in Europe are anchored by facilities in Wörth am Rhein, Germany, and Molsheim, France, where military vehicle variants can be integrated into existing production lines.
The company also offers local assembly of militarised Mercedes-Benz trucks in customer countries, enabling greater localisation and flexibility for defence customers.
Focus shifts towards larger fleet programmes
While customised defence projects will remain an important part of the business, Daimler Truck plans to increasingly focus on fleet and sustainment programmes that require higher production volumes and long-term support.
The strategy is expected to benefit from the company’s ability to combine high-volume commercial vehicle manufacturing with specialised defence expertise.
To support military customers globally, Daimler Truck is expanding its service infrastructure. The company already operates around 5,000 service locations across more than 160 countries and plans to further strengthen spare-parts availability and service responsiveness.
Strong order book underpins growth ambitions
Recent contract wins underline the company’s growing presence in the defence sector. These include a major logistics vehicle order from Germany’s Bundeswehr, a contract with the Canadian Armed Forces in partnership with General Dynamics Land Systems for at least 1,500 logistics trucks, and a framework agreement with the French Armed Forces alongside Arquus covering 7,000 trucks based on the Zetros platform.
The company said these programmes highlight its focus on European and transatlantic defence partnerships supported by reliable industrial delivery capabilities.
Expanding portfolio for modern military needs
Daimler Truck is broadening its defence portfolio to address evolving military requirements, ranging from light utility vehicles to heavy tactical logistics platforms.
The company is also working with industry partners on advanced technologies, including autonomous driving systems and unmanned vehicle integration, while leveraging components and platforms developed for its commercial vehicle business.
Beyond vehicle manufacturing, Daimler Truck is building an integrated offering covering engineering, system integration, lifecycle support and partner ecosystems.
