Mercedes-Benz CEO Ola Kaellenius has called for a German “productivity offensive” after the luxury carmaker reported a second-quarter profit hit amid intense competition in China. His remarks tied the company’s results to wider concerns about costs and efficiency in Germany.
Presenting the latest quarterly performance on Tuesday, Kaellenius said Germany needs to lower costs and raise productivity. The message comes as major manufacturers face pressure from weaker pricing power and tougher market conditions, especially in China, which remains a crucial market for global car brands.
Kaellenius also said Mercedes-Benz would continue to streamline its own corporate operations. That suggests the company is looking inward as well as outward, trying to improve efficiency while dealing with a more challenging international environment.
The update highlights how China competition is affecting profit at premium European automakers and how business leaders are linking those pressures to broader economic competitiveness at home. For Mercedes-Benz, the combination of softer profitability and restructuring efforts points to a more disciplined approach in the months ahead.
