Ineos and Daimler Truck Form Defense Partnerships as Europe Increases Military Spending

Ineos said it is partnering with armored vehicle producers SMT Defence and NMS UK to supply its Grenadier 4x4 model for a British light mobility vehicle program.

Rådstrom said defense is a key pillar of the company's growth strategy. The company did not detail specific projects in the statement.

Renault announced a partnership with French defense contractor Thales to produce a new armored vehicle. Last week Mercedes-Benz said it would work with Tytan Technologies to produce anti-drone vehicles based on the G-Class and Sprinter models. The European car industry faces slowing electric vehicle demand, Chinese competitors eroding market share, and higher borrowing costs.

European nations have increased military spending since Russia's 2022 invasion of Ukraine. European NATO allies also face pressure to increase self-sufficient defense production. Many employee skills required for military vehicle production are transferable from standard automotive work.