Mercedes May Begin Manufacturing Military Equipment: What We Know
16 May 10:12
German automaker Mercedes may begin producing military equipment amid global security threats. Ola Källenius, CEO of the Mercedes-Benz Group, made these remarks in an interview with The Wall Street Journal, according to "Komersant Ukrainian".
“The world has become a more unpredictable place, and, in my view, it is quite obvious that Europe needs to strengthen its defense capabilities,” he said. “If we can play a positive role in this process, we will be ready to do so.”
According to the top executive, the company’s entry into the arms sector is possible if it is “economically viable.” Kallenius cautioned that the new defense business would account for only a “negligible share” of the company’s overall portfolio. However, he predicts that this sector could become a “growing niche.”
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Volkswagen may also move into weapons production
In April, the Financial Times reported that Germany’s Volkswagen is in talks with the Israeli defense company Rafael Advanced Defense Systems regarding potential cooperation. According to the publication, the parties plan to convert Volkswagen’s struggling plant in Osnabrück to produce components for Israel’s “Iron Dome” missile defense system.
At the time, a VW representative told DW: “We continue to rule out weapons production by Volkswagen in the future, and we are not speculating on future plans for the Osnabrück plant.” However, he added that since production at this plant is scheduled to end in 2027, Volkswagen “continues to explore promising options” and is in talks with various “market participants.”
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