The increase in military spending in Europe has opened a door that seemed closed for the German automotive industry. Mercedes CEO Ola Källenius has stated that the company considers entering the defense industry viable, provided the business is profitable. Volkswagen, for its part, is also seeking to approach this sector, seeing military contracts as an opportunity for industrial growth.
Luxury chassis for modern defense systems 🛡️
The adaptation of automotive production lines to military components is not a technical novelty. German plants already possess the capacity to manufacture precision parts, drivetrain systems, and lightweight armor. Mercedes could contribute its experience in high-performance diesel engines and onboard electronics. Volkswagen, with its industrial scale, could produce tactical vehicles or drone components. The key lies in converting assembly lines without losing civilian efficiency.
From airbag to missile, a matter of margins 💰
It is curious to see Mercedes go from selling luxury cars to considering manufacturing battle tanks. I suppose the airbag will now be an anti-missile system and the trunk, an optional grenade launcher. Källenius says they will only enter if it is profitable, which suggests that selling tanks looks better than selling electric cars. With these margins, even the ashtray of the S-Class could come with a telescopic sight.