Daimler Truck Cuts 2025 Profit Forecast on North America Weakness

Daimler Truck has significantly lowered its 2025 profit and sales forecasts, primarily due to weakening demand and market uncertainty in North America, its most profitable region. The company now expects adjusted EBIT between €3.6 billion and €4.1 billion, down from previous estimates of €4 billion to €4.5 billion, and industrial sales between €44 billion and €47 billion, reduced from €48 billion to €51 billion. North American truck sales are forecast to fall to between 135,000 and 155,000 units, reflecting a slowdown in orders and prompting capacity adjustments. CEO Karin Rådström and CFO Eva Scherer highlighted ongoing challenges, including geopolitical pressures and tariff-related economic uncertainty, with the company considering strategic moves such as a potential exit from manufacturing operations in China and plans to cut 5,000 jobs in Germany by 2030. The revised outlook has led to a sharp decline in Daimler Truck's share price, mirroring industry-wide caution as global truck demand softens amid economic headwinds. This trend raises broader concerns about the health of the freight, transport, and commercial vehicle markets globally.