logo

The Best of Both Worlds – DEUTZ and Daimler

In the world of medium and heavy-duty engines, Daimler Truck is a significant player with a long and respected history. In a landmark agreement, DEUTZ is joining forces with Daimler Truck in a move that will allow DEUTZ Australia to expand its range of modern internal combustion engines.

The medium-duty and heavy-duty engines they produce are suitable for a variety of settings, such as construction equipment and heavy agricultural machinery.

The agreement between the two companies will see DEUTZ acquire the on-highway IP to Daimler Truck’s medium-duty MDEG engines so it can further develop them itself. This will include for use in off-highway applications, such as agricultural machinery and construction equipment.

DEUTZ will also acquire license rights from Daimler Truck so that it can further develop its heavy-duty HDEP series for use in off-highway applications. DEUTZ will also distribute these engines independently.

The heavy-duty engines will continue to be built at the Mercedes-Benz plant in Mannheim and will be shipped to DEUTZ for final assembly. The medium-duty engines will be completely produced at DEUTZ.

In 2024, DEUTZ announced that the sales and service of the Mercedes-Benz Industrial product range have transitioned from Rolls-Royce Power Systems (RRPS) to DEUTZ. This arrangement supports Daimler’s long-term vision for DEUTZ to become the manufacturer of medium-duty MDEG engine ranges from 2028.

“DEUTZ Australia is thrilled to be part of this agreement with Daimler Truck and it will bring a range of benefits to our customers. We look forward to expanding the products and services we can offer current and future customers,” says DEUTZ Australia CEO, Craig Chamberlin.

The agreement and cooperation between the two companies is part of DEUTZ’s Dual+ strategy which will see the business step up the development of a climate-neutral product portfolio while optimising and further developing its classic engines.

“The cooperation with Daimler Truck will significantly improve our starting position in a consolidating market as we will gain access to technologically advanced engines, and will be able to attract new customer groups at the same time,” says DEUTZ CEO, Dr Sebastian C Schulte.

“Heavy-duty applications and agriculture still require conventional powertrain systems based on internal combustion engines, and these can be made more environmentally-friendly by running them on synthetic fuels. In the next few years, we will therefore not only enhance our climate-neutral product portfolio but also further expand our classic engine business.”

As part of the transition for the Mercedes-Benz Industrial product range, DEUTZ Australia has assumed the role of distributor for the range across Australia and New Zealand, with the strong backing of DEUTZ globally.

To support the expanded portfolio, DEUTZ Australia has completed building a new warehouse and workshop facility in Brisbane and has rapidly grown its local team to ensure continuity of service for existing Daimler customers.

Mercedes-Benz OM936 230 kW paired with an Allison 3000 Series transmission unit
100% Assembled by DEUTZ Brisbane

Craig described the developments as a significant step forward for the company and its customer base.

“These are exciting developments for DEUTZ Australia, particularly as we support customers through this transition,” says Craig.

“We are committed to ensuring that these latest agreements work in the best interests of our customers who can be reassured that DEUTZ Australia will continue to deliver the products and service that our customers expect.”

Subscribe to our Newsletter

Latest News