Daimler truck boss expects Chinese electric truck offensive

Daimler’s truck division chief, Karin Rådström, has warned that Chinese electric trucks could soon launch a major offensive in the European market. While Chinese electric buses have been present in Germany and other parts of Europe for over a decade, electric heavy-duty trucks remain largely absent. “I expect an offensive in the truck segment,” Rådström told the German Press Agency during a conversation in Berlin. “It is up to us to be prepared.” Rådström noted that China has numerous manufacturers, and a large consolidation process is likely to take place there. However, she believes Daimler must prepare itself to face this competition. “We need to work consistently on innovation and optimize our costs,” she added. So far, many announcements have been made regarding electric trucks, but they are still not visible among customers. While Chinese companies have gained market share in the bus sector, they have not managed to dominate the market. Rådström, who currently serves as chairperson of the Heavy Vehicle Committee of the European Automobile Manufacturers Association (Acea), stated that European manufacturers have demonstrated their ability to remain profitable and competitive. Although the Chinese competition is taken seriously, she emphasized confidence in the company's capabilities. “We can compete with them just as effectively as we can with American, European, Korean, or Japanese competitors,” she said. Daimler Truck is under pressure due to recent performance issues. The company’s profits dropped by 34 percent compared to the previous year, reaching two billion euros. This decline was attributed to U.S. tariffs and weak demand in North America, which significantly impacted business operations. Both sales and revenue have also declined. In the first quarter of this year, earnings per share fell by approximately 80 percent. To become more competitive, Daimler Truck introduced the “Cost Down Europe” cost-cutting program last year. By 2030, the initiative aims to reduce operating costs in Europe by more than one billion euros. As part of these efforts, around 5,000 jobs in Germany are expected to be eliminated. The situation highlights the growing importance of electric vehicles in the transportation industry. With increasing environmental concerns and government incentives, the shift towards electrification is accelerating. Daimler’s strategic response will be crucial in maintaining its position in the evolving market landscape. As the automotive industry continues to transform, the competition from emerging markets such as China is becoming increasingly relevant. The coming years will determine how well established players adapt to new challenges and opportunities.