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Electric car: Daimler electrified to 2022 all models

Wednesday, September 13th, 2017 | Gadgets

Daimler intends to produce vehicles with a fully or partially electric drive in five years. "By 2022, we will be electrifying the entire product portfolio of Mercedes-Benz," said Dieter Zetsche, Chairman of the Board of Management of Daimler, according to Reuters news agency on Monday at the capital market day in Sindelfingen. According to this, more than 50 models with power drive are planned "in all combinations, not just electric cars". Last March, Daimler had announced that it would bring ten pure electric cars onto the market by 2022. The Smart Smart car is expected to be fully electric from 2020 onwards.
Currently, Daimler has only electrified the Smart and the B-Class and offers a range of hybrid vehicles. Hybrid technology sees Daimler as a bridge technology to pure electric cars. In addition to plug-in hybrids, this also includes so-called mild hybrids, which can only support the internal combustion engine. Daimler has developed such a drive together with the Mitsubishi Electric Corporation (Melco) for the S-Class. The 48-volt starter generator sits directly on the crankshaft and serves as a drive amplifier during start-up as well as recuperation during braking.

Electric cars should no longer be more expensive
The electrification of all models therefore, just as with Volvo and Maserati, does not mean a farewell to the internal combustion engine. Daimler expects a sales share of 25 percent for full-electric vehicles by 2025. However, the company assumes that by the middle of the next decade the battery prices will drop so far to produce the electric cars at the same prices as gasoline and diesel.

This, according to Daimler, does not mean that the current return on capital can be held at ten percent. "We will continue to strive for 10 percent, but we need to be prepared for a corridor of between eight and ten percent during the transition," said Frank Lindenberg, the financial director of the Mercedes-Benz passenger car division, according to Reuters. Daimler CEO Zetsche said: "Combustion engines remain the backbone for CO2 targets and our financial strength over a long period of time."
In July 2017, the company management, together with the works council of the parent plant in Stuttgart-Sindelfingen, had reached an agreement to "smoothly transition the production of conventional engines, gearboxes and axles towards future powertrain components for electric vehicles". According to the Reuters report, however, Daimler intends in the future to recover the costs for the necessary investments by outsourcing production. This is likely to lead to further conflicts with the works council, if they involve job cuts.

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