Daimler to be carbon-neutral from 2040?

Future CEO Ola Källenius wants to make Daimler a CO2-free company by the year 2040, according to a report by Manager Magazin. This move would affect not only the vehicles but also the production network, including suppliers.

The German magazine quotes circles close to the company commenting on the new corporate strategy that runs under the zero-emission project. While this will take time, the ultimate goal is for the vehicles, the plants and also the suppliers to drive and produce CO2-free.

The transition envisioned by the Swede will not come without costs, and so Källenius is expected to cut jobs, in the medium term perhaps 10,000 of the current 298,700. However, the carmaker aims for a more socially acceptable manner, i.e. by not filling vacancies but also creating new roles for software experts for example.

Källenius will replace the current CEO Dieter Zetsche after close to thirteen years at the top on 22 May. The above story appears as a will to steer the carmaker on a green (washing) course that is needed. Daimler is currently under investigation by the Stuttgart public prosecutor’s office and the U.S. authorities for the alleged manipulation of nitrogen oxide emissions from diesel engines. The company rejects the accusations.

In terms of an existing e-mobility strategy, Mercedes plans to offer more than ten all-electric models across multiple vehicle segments by 2022 and calculates that electric cars will account for 15% to 25% of revenue by 2025 reportedly. Across the Group, Daimler has begun releasing electric models in the commercial vehicle segment such as the eSprinter or eCitaro and has increased increased R&D spending by a good 60 percent over the past four years, mainly due to the stricter emission regulations.

Besides, the corporation is currently transforming its global production network to incorporate EVs and batteries. Also, Smart’s seemingly uncertain future has been resolved lastly with Daimler having decided to relocate the small EV production in a joint venture with Geely in China (we reported). Global sales of these compact electric vehicles will begin in 2022. Another partnership to watch out for is the (mobility) alliance with BMW. The two neighbouring companies have been seen moving closer together lately and Manager Magazin suggests that Källenius would like to widen the cooperation. The latest reports though restricted the partnership to one compact electric car on a common platform made in China. The BEV could enter the market by 2024.

manager-magazin.de (in German, paywall)