Mercedes-Benz on Tuesday announced the appointment of Jason Hoff to the newly created role of North America CEO. Effective May 1, Jason Hoff shall be the new Mercedes-Benz CEO as the German carmaker looks to strengthen its focus on the U.S., its second-largest market. In addition, Mercedes-Benz is doubling down on its U.S. operations by consolidating its research and development, sales, and marketing divisions into a single entity.
Mercedes North America appointing new CEO is seen as a way to secure long-term growth in a region where the company has invested over $10B.
Appointment of Jason Hoff as Mercedes-Benz’s new CEO
Jason Hoff, who has been with Mercedes for a long time with extensive experience in production and quality management. Appointing him as CEO signals a shift towards localized leadership. Hoff will report directly to Mercedes-Benz Group AG’s Board of Management, reinforcing the strategic weight of the U.S. market in the company’s global roadmap.
Mercedes-Benz’s U.S. strategy
Currently Hoff is the Head of Quality for Mercedes-Benz Cars & Vans. He will be responsible for the overall strategic direction in the U.S. Mercedes is working on strengthening its R&D, sales and marketing activities in the U.S. under the new CEO.
Last year Mercedes reported strong sales in U.S. It was able to sell 324,500 passenger cars and 49,600 vans in 2024.
Ola Kaellenius, the Mercedes-Benz Group AG’s CEO said, “This new position will ensure continued growth and increased synergies in the U.S. by bundling our activities and subsidiaries under one roof”.
U.S. an important revenue generator
For Mercedes-Benz U.S. remains an important market despite mounting global challenges. It was able to sell 324,500 vehicles in U.S. in 2024 making it the second-largest market for the brand. The restructuring with the new executive appointment for the U.S. region is a move to capitalize on the resilience of its luxury car market. The U.S. sales have been the most stable compared to the China and Europe. This is true more so in its high-margin segment like AMG performance models and the G-Class SUV.
Mercedes’ new North America CEO
Hoff is a Mercedes-Benz veteran with deep operational knowledge will surely help. He was also head of SUV production in Alabama and served as Global Head of Quality, making him the perfect candidate to understand the U.S. manufacturing and customer expectations.
Mercedes-Benz CFO Harald Wilhelm said that last month the carmaker would localize more production at its Tuscaloosa plant to shield itself from potential tariffs.
There were no comments on the changing leadership for the U.S. operation by the company.
Declining revenue for Mercedes Benz
However, the U.S. pivot seems promising as Mercedes-Benz is facing several financial and operational pressures on a global scale:
There has been a decline in revenue by about 4.5% a 30% EBIT decline in 2024.
Once an important market for Mercedes-Benz China’s luxury car market is losing momentum, forcing the carmaker to reconsider its growth strategy for that region.
It seems like the Mercedes-Benz’s U.S. strategy could be its best bet for growth. The company’s decision to unify its operations and appoint a new dedicated CEO for U.S reflects a calculated bet for long-term profitability.
