Mercedes‑Benz and Czech car makers shift to defence as Europe ramps up military spending

European automotive firms are turning to the defence sector as EU military budgets expand. In the Czech Republic, managers such as Marek Šantavý of Kentigen say companies are seeking to apply their expertise to defence contracts, noting a 3.25 trillion‑CZK EU fund for defence, security and space between 2028‑2034. Volkswagen is exploring components for Israel’s Iron Dome system, while Renault and other manufacturers are developing dual‑use technologies.

Mercedes‑Benz announced a partnership with Slovak‑based Tytan Technologies at the ILA air show in Berlin to create mobile drone‑defence platforms built on G‑Class and Sprinter vehicles. The proposed “Drone Defender” system will combine radar and intercept drones to neutralise hostile unmanned aircraft. The move reflects growing European concerns over drone threats and a broader trend of car makers repurposing production capacity for military use.