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Mercedes-Benz owner Daimler gets first non-German boss | |
(about 1 hour later) | |
Daimler, the German car maker that owns Mercedes-Benz, will be run by a non-German for the first time next year. | Daimler, the German car maker that owns Mercedes-Benz, will be run by a non-German for the first time next year. |
Dieter Zetsche, 65, will be replaced by Ola Kaellenius, a 49-year-old Swede, as chief executive in a succession plan announced on Wednesday. | |
The moves come as Daimler and the German car industry grapple with the fallout from the diesel emissions cheating scandal. | |
Mr Zetsche will step down from the role he has held since 2006 in late 2019. | |
He will become chairman from 2021 if Daimler shareholders give their approval. | He will become chairman from 2021 if Daimler shareholders give their approval. |
Daimler chairman Manfred Boschoff said appointing Mr Zetsche as chairman would ensure "continuity for the sustained success of Daimler", adding: "In Ola Kaellenius, we are appointing a recognised, internationally experienced and successful Daimler executive." | Daimler chairman Manfred Boschoff said appointing Mr Zetsche as chairman would ensure "continuity for the sustained success of Daimler", adding: "In Ola Kaellenius, we are appointing a recognised, internationally experienced and successful Daimler executive." |
The Swede, who oversees Daimler's research and development division, has been with the company since 1993 and worked in its British and American operations as well as the Stuttgart headquarters. | |
Shares in Daimler fell 1.8% in Frankfurt following the announcement. | Shares in Daimler fell 1.8% in Frankfurt following the announcement. |
Last week it emerged that Daimler and rival German carmakers BMW and Volkswagen will face an EU inquiry for allegedly conspiring to restrict diesel emissions treatment systems. | Last week it emerged that Daimler and rival German carmakers BMW and Volkswagen will face an EU inquiry for allegedly conspiring to restrict diesel emissions treatment systems. |
The European Commission said it was investigating whether they agreed to limit the development of systems to reduce harmful emissions. | The European Commission said it was investigating whether they agreed to limit the development of systems to reduce harmful emissions. |
The announcement followed raids of the companies' offices last year. | The announcement followed raids of the companies' offices last year. |
In June the company warned that profits this year would be slightly lower than expected due to trade tensions between the US and China. | In June the company warned that profits this year would be slightly lower than expected due to trade tensions between the US and China. |
It also blamed the cost of recalling close to 800,000 cars in Europe that were found to be fitted with software that masked emissions. |