As global economies push for decarbonisation, European commercial vehicle manufacturers will struggle to remain economically viable unless urgent action is taken.
That’s the stark warning from Daimler Truck AG board member and head of truck technology, Dr. Andreas Gorbach, who has published an opinion piece saying “failure is not an option”.
The comments come ahead of the German federal election on February 23. German commercial vehicle manufacturer Daimler Truck has launched a campaign, lining the streets with posters reminding people of the important role trucks and buses play for the economy and society.
While manufacturers, including Daimler Truck, have made significant strides in producing battery-electric and hydrogen-powered trucks, Gorbach argues that companies are still facing severe financial penalties due to a lack of infrastructure and economic feasibility.
“Emission-free vehicles are in series production, but manufacturers still face draconian fines because the vehicles lack economic viability and infrastructure,” Gorbach warns.
A key challenge, he notes, is the sheer energy demand of an all-electric fleet.
“If we wanted to convert six million trucks in Europe completely to battery-powered vehicles, we would need around 350 TWh of green energy per year to charge them. For comparison, Germany’s total electricity demand in 2023 was around 500 TWh.”
The infrastructure required to support large-scale electrification remains inadequate, with long lead times for charging station development, he says.
“Ten MW is required to charge long-haul trucks simultaneously at a public rest area in around 45 minutes – and, in turn, the planning and construction for only one such facility takes up to ten years,” he says.
Key role for hydrogen
Given the challenges, Gorbach argues that hydrogen-powered trucks must complement battery-electric solutions.
“Battery-electric vehicles alone are therefore not sufficient to achieve decarbonisation at the speed needed to meet the European CO2 targets for trucks.”
He points to the emergence of a global trade in green energy, particularly in hydrogen, as a critical factor.
There is enough sun and wind in the world to produce enough hydrogen to meet all demand, he notes.
Hydrogen combustion engines and carbon-neutral fuels, such as hydrotreated vegetable oil (HVO), can also play a role in reducing emissions, particularly in sectors where electrification is difficult.
Policy shift needed
To maintain Europe’s competitiveness in commercial vehicle manufacturing, Gorbach calls for immediate policy reforms. “We urgently need to change this so that European manufacturers remain competitive. Otherwise, non-European manufacturers will soon gain significant market shares in Europe.”
He proposes bringing forward the revision of CO2 targets to 2025 and legally linking them to infrastructure expansion.
He also urges governments to reduce bureaucracy to accelerate innovation and expand charging and hydrogen infrastructure for trucks and buses “immediately and rapidly”.
Despite the automotive industry investing billions into decarbonisation, the lack of an economic framework continues to stall progress.
“Commercial vehicle manufacturers have little to no influence on either of these factors. Manufacturers therefore do not have full control over whether they achieve the specified CO2 targets for 2030.”
