Daimler is planning to restructure the group to make its Mercedes-Benz Cars & Vans and Daimler Trucks & Buses divisions into legally independent entities.

Daimler decides on first steps to strengthen the divisional structure

The two new entities would sit alongside the existing legally independent Financial Services division “under the roof and lead of Daimler AG” with the automaker saying the targeted new structure would help to better focus on the changing requirements of markets and customers.

“Whoever aims for sustainable competitiveness and profitability must continuously evolve and adapt to rapidly changing surroundings – technologically, culturally and also structurally,” said chief executive Dieter Zetsche.

Daimler stressed that the plans did not include the divestment of the individual divisions and that the group was not looking to pursue any savings or efficiency programmes or the intention to cut jobs. It added that it is cooperating with employee representatives at all levels.

The new structure would require sign-off by the Board of Management and Supervisory Board and would then require shareholders’ approval. The earliest this could then be voted on would be at meeting in 2019.