Ineos and Daimler Truck enlist in auto defense push

Ineos Automotive announced on Tuesday a partnership to deliver vehicles to the UK Ministry of Defence, the latest in a series of recent cooperation agreements between Europe’s automotive and defense sectors.

The British automobile manufacturer, a subsidiary of Ineos Group, one of the world’s largest chemical producers, said in a statement that it has partnered with armored vehicle manufacturers SMT Defense and NMS UK for the “Team Grenadier” consortium.

The Group’s flagship 4×4 Grenadier is the platform on which the Ministry of Defense’s Light Mobility Vehicle tender process is submitted.

Ineos said the Grenadier’s four-wheel drive, beam axles and high payload capacity provide “a solid foundation for military adaptation across multiple roles and operating environments”.

The partnership follows a series of self-defense collaborations announced in recent weeks. On Monday, Daimler Truck It announced that it would create a subsidiary brand called Daimler Truck Defense, backed by an investment of several hundred million euros, with the aim of “providing a broader range of military mobility and logistics solutions to governments around the world”.

Daimler Truck CEO Karin Rådström said in a statement that defense is the “main pillar” of Daimler Truck’s growth strategy.

Also on Monday Renault He said that he made a partnership agreement with French defense contractor Thales to produce a new armored vehicle.

Renault said the vehicle’s role includes reconnaissance, troop coordination and UAV deployment, and will support maneuvers in “ground force missions in France and abroad.”

And last week Mercedes-Benz announced that it has partnered with German startup Tytan Technologies to produce anti-drone vehicles.

According to the company’s statement, Mercedes will focus on “vehicle-based drone defense and mission platforms for the protection of people and critical infrastructure” based on the G-Class and Sprinter models.

The European auto industry has found itself mired in a structural crisis as demand for electric vehicles slows, market share is increasingly eroded by Chinese rivals and it faces high borrowing costs.

As European countries increase military spending following Russia’s full-scale invasion of Ukraine in 2022, it presents a lucrative opportunity for the defense sector. European NATO allies also face pressure from the White House to become more self-sufficient in defense production.

According to experts, the automotive industry’s transition can be achieved in part because many of the core skills of workers are highly transferable.

Daimler Truck said the company employs around 1,000 employees in its defense business and that its growth strategy expects to create “additional demand for highly qualified specialists”.