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Daimler Is Making a Big Shift in Its Electrification Strategy - Business Insider

Published 06/22/2021, 03:15 AM
Updated 06/22/2021, 03:16 AM
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By Geoffrey Smith 

Investing.com -- Daimler (DE:DAIGn), the automotive group that makes Mercedes-Benz cars and trucks, now wants to build its own battery cells, according to a report by Business Insider.

If confirmed, that would represent a major shift of strategy for the Stuttgart-based giant as it scrambles to make the transition to electric mobility. The company’s CEO Ola Kallenius had previously signaled it would rely on third-party suppliers for batteries.

The report comes only a week after Manager Magazin claimed that Daimler (OTC:DDAIF) intends to accelerate the phase out of conventional powertrains in its cars, a move that will only increase the importance of its battery supply. 

Daimler didn’t confirm the Business Insider report, saying only that “We will issue comprehensive information about our activity in this segment in the course of the year.”

Daimler shares were down 0.1% at the open in Frankfurt. They’re up 38% so far this year.

Daimler's biggest rival, Volkswagen (DE:VOWG_p), is also stepping up its investment in battery companies, its subsidiary Porsche announcing an investment of just under 100 million euros ($119 million) in German-based Cellforce Group GmbH on Monday.

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