Nov. 19, 2007 Daimler is set to bump up production of its hybrid commercial vehicles in an effort to meet growing demand from commercial customers.

Under the new Shaping Future Transportation initiative, Daimler will boost research and development into alternative drives with the aim of applying hybrid technologies to additional vehicle models. Daimler is also investigating the use of renewable fuels, primarily derived from vegetable oil.

"Commercial vehicles are the force that's driving economic growth and globalization," says Andreas Renschler, head of Daimler Trucks. "[This initiative] demonstrates that the environmentally friendly commercial vehicles from Daimler are no longer prototypes, but real vehicles that are being used by customers."

New vehicles currently in production include a hybrid version of a Thomas Built school bus, to be introduced within the next three years, and a Mercedes Benz three-axle hybrid public-transit bus slated for 2009.

On the biofuels side, Daimler experts are shifting their focus from biodiesel to vegetable oil-derived hydrated fuels (HVOs). The company has already begun fleet testing of HVO fuel in Mercedes-Benz trucks and buses. Biodiesel has been commonly used in Mercedes-Benz trucks for the past ten years.

Daimler currently has the world's largest fleet of hybrid and alternative-fueled commercial vehicles in use by customers, delivering more than 1,500 Orion hybrid buses, 100 Freightliner trucks, and 1,500 Mercedes-Benz trucks and buses powered by natural gas.