trucking

Daimler Truck Pursues Three-Part Strategy to Restore Margins Amid North American Freight Downturn

Daimler Truck is pursuing a three-pronged plan to restore profitability following severe North American demand contraction. The truck maker sold 141,814 units in North America during 2025, a 26% year-over-year decline. First-quarter 2026 proved even more challenging, with sales of 29,432 trucks marking the lowest quarterly performance since 2010, CFO Eva Scherer disclosed during the company's May 6 earnings call. Prolonged freight recession and tariff pressures have squeezed margins significantly. To stabilize operations, Daimler is reducing its ownership stake in the newly formed Archion Corp.—created through the April 1 merger of Mitsubishi Fuso and Hino Motors—to 25%. The company is also scaling its fuel cell venture, Cellcentric, with Toyota joining as an equal shareholder. Additionally, Daimler is deferring electric vehicle manufacturing investments. Despite current headwinds, Q1 orders surged 86% year-over-year, signaling potential demand recovery.