Daimler Looking To Cut EV Research Spending After EQ Launch

After unveiling the first model in its EQ family of EVs, Daimler hopes to cut its annual research and development spending by $2.2 billion.

While speaking with Bloomberg journalists in Germany this week, the company's chief executive Dieter Zetsche confirmed the news after Daimler's spending reached new heights due to the creation of the EQ brand.

Next year, Daimler hopes to restrict R&D spending to around $13.2 billion compared to the $15.4 billion it expects to spend this year, a difficult goal to achieve considering the firm's brands are now developing electrified and conventionally-powered vehicles alongside each other.

In the coming decade, Daimler predicts 25 per cent of its deliveries will be for electric vehicles and by cutting costs, the firm's future profitability should be secured.

In Paris, Mercedes-Benz previewed its electric vehicle fleet with the Generation EQ SUV concept. Powered by two electric motors, the model has a European-rated range of 311 miles (500 km) and in the future, is expected to be joined by future electric SUV models as well as sedans, wagons, roadster and coupes.