Daimler to Introduce 13 New Models by 2020 image

Daimler CEO Dieter Zetsche’s aggressive plan to bring Mercedes back on the first place, consists of introducing 13 new models in the next 8 years.

“I’m very confident that we will come back to our leading position, ” said Zetsche. “First of all, of course, it’s about the design and the desire which our products are creating.”

Zetsche, who will see his contract extended by 5 years, plans to boost deliveries and revenue by introducing 13 new models by 2020, including the four-door CLA coupe, a reworked E-Class sedan and revamped flagship S-Class. The automaker will invest 21 billion euro in the following two years on development and research, equipment and plants, part of the plan to bring Mercedes from the third place back on the first spot, surpassing BMW and VW.

Until the company will see some delivery and revenue gains, it has too cut 2 billion euro from the Mercedes spending and 2,100 jobs at the truck division. The automaker expects this year’s earnings before interest and taxes to be at the same level as 2012, when it dropped 10% to 8.1 billion euro. Chief Financial Officer Bodo Uebber said that Mercedes plans to achieve 33% of the costs savings in 2013 and the rest in 2014, mainly by lowering material costs.