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    1. Home
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    3. >Daimler Truck plans Czech production site for Mercedes unit
    Finance

    Daimler Truck Plans Czech Production Site for Mercedes Unit

    Published by Global Banking & Finance Review®

    Posted on March 31, 2026

    2 min read

    Last updated: March 31, 2026

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    Quick Summary

    Daimler Truck will invest a low- to mid‑three‑hundred million‑euro sum to build a new Mercedes‑Benz Truck assembly plant in Cheb, Czech Republic, with capacity for 25,000 units annually and over 1,000 jobs, shifting production from Woerth (Germany) and Aksaray (Turkey).

    Daimler Truck Launches New Mercedes-Benz Facility in Czech Republic for Cost Efficiency

    Overview of Daimler Truck’s Expansion in the Czech Republic

    Announcement and Investment Plans

    PRAGUE, March 31 (Reuters) - Daimler Truck will launch a new facility in the Czech Republic to take on some production from the group's existing production network as it seeks to reduce costs, the company said on Tuesday.

    Under the plans, the group will invest a low to mid three-digit million-euro amount in a new production plant for its Mercedes-Benz Truck unit in the Czech town of Cheb.

    Strategic Objectives and Management Statement

    "With our new assembly plant in Cheb, we are strengthening the competitiveness of our production network with a clear focus on cost optimization and complexity management," Mercedes-Benz Truck CEO Achim Puchert said in a statement.

    Production Capacity and Job Creation

    The plans call for an annual production capacity of around 25,000 units in Cheb. Over 1,000 jobs are expected to be created, according to the statement.

    Impact on Existing Production Sites

    The new site will take on some of the production from the truck maker's German site in Woerth and its Turkish site in Aksaray.

    Role of Woerth and Global Production Network

    Woerth is to remain the largest volume site within the production network and will also play a key role in Daimler Truck's growth strategy in the defence sector, the statement said.

    The German company is one of the world's biggest truckmakers, with more than 40 production sites around the world.

    Czech Republic’s Automotive Sector and Industry Response

    The Czech Industry Ministry plans a news conference detailing a "new global investor" at 1600 GMT on Tuesday but declined to provide more details.

    The Czech economy leans heavily on the automotive sector, which produced 1.4 million passenger cars last year in the country of 10.9 million.

    (Reporting by Jason Hovet and Rachel More, Editing by Friederike Heine and Tomasz Janowski)

    References

    • Daimler Truck Holding AG
    • Daimler Truck Capital Market Day 2025 | “Stronger 2030” - Evolution of Group Strategy and upgraded Financial Targets 2030 | Daimler Truck
    • Daimler Truck Holding AG

    Table of Contents

    • Overview of Daimler Truck’s Expansion in the Czech Republic
    • Announcement and Investment Plans

    Key Takeaways

    • •Daimler Truck is investing a substantial three‑digit million‑euro amount in a new Mercedes‑Benz Truck plant in Cheb, Czech Republic, to streamline costs and complexity (daimlertruck.com).

    Frequently Asked Questions about Daimler Truck plans Czech production site for Mercedes unit

    1What is Daimler Truck planning in the Czech Republic?

    Daimler Truck will invest in a new Mercedes-Benz Truck production plant in Cheb, Czech Republic, to optimize costs and expand capacity.

    2How many jobs will the new Daimler Truck facility in Cheb create?

    The new facility is expected to create over 1,000 jobs in the Cheb region.

    Strategic Objectives and Management Statement
  • Production Capacity and Job Creation
  • Impact on Existing Production Sites
  • Role of Woerth and Global Production Network
  • Czech Republic’s Automotive Sector and Industry Response
  • •The new Cheb facility will have an annual capacity of around 25,000 units and is expected to create over 1,000 jobs, relieving production pressure on Daimler’s sites in Woerth (Germany) and Aksaray (Turkey) (daimlertruck.com).
  • •Daimler Truck’s broader strategy includes its Europe “Cost Down” program targeting over €1 billion in cost reductions by 2030, integration of global production networks, and focus on efficiency and complexity management in Mercedes‑Benz Trucks (daimlertruck.com).
  • 3What is the planned production capacity of the Cheb site?

    The new Cheb site will have an annual production capacity of around 25,000 units.

    4Which existing Daimler Truck sites will be affected by the new plant?

    The Cheb plant will take on some production from the Woerth site in Germany and the Aksaray site in Turkey, while Woerth remains the largest site.

    5Why did Daimler Truck choose the Czech Republic for its new plant?

    The company aims to strengthen its production network's competitiveness, optimize costs, and benefit from the Czech automotive industry's strength.

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