Mercedes‑Benz and other German automakers pivot to defence production

Mercedes‑Benz announced a partnership with German start‑up Tytan Technologies to develop a mobile air‑defence system, called “Drone Defender”, that will be fitted on Sprinter vans and militarised versions of the G‑Class. The system aims to detect and neutralise small FPV drones using sensors and counter‑drone launchers. CEO Ola Källenius told the Wall Street Journal that Europe’s security environment has become less predictable, prompting the company to explore a modest defence segment that could grow rapidly.

The move reflects a broader trend among major auto makers to diversify into the defence sector as they face a global automotive downturn, rising competition from China and higher production costs. Volkswagen has also been reported to hold talks with defence firms such as Rafael Advanced Defence Systems about converting plant capacity for military equipment. German defence firms like Rheinmetall have already benefited from increased defence spending, and the collaboration with Tytan is presented as part of Europe’s effort to boost its own defence footprint.