MUNICH (dpa-AFX) - Former Volkswagen CEO Herbert Diess plans to launch an electric tractor next year through a new venture. The 67-year-old executive announced on LinkedIn that the vehicle will be a mid-range tractor designed for farmers and municipal services.

The agricultural machine is expected to feature a swappable battery system enabling '24/7 operation'. Furthermore, it will be compatible with all standard attachments, such as mowers and snowplows.

Diess stated that the company aims to be price-competitive with comparable diesel vehicles from the initial deliveries in 2027. 'We want to pass on our competitiveness to as many farms as possible, as quickly as possible', he wrote. This objective is to be achieved through attractive pricing, premium quality, and the ability for farmers to use self-generated solar power for daily operations.

'We are fully on schedule'

Diess E-Agrartechnik AG is reportedly 'fully on schedule' regarding product development, driven by a competent core team. The Munich-based firm is collaborating with an established agricultural machinery manufacturer in Germany, Austria, and Switzerland, as well as various suppliers. Diess did not disclose the names of the partner companies.

The company is not yet listed in the federal business register. In addition to tractors, the firm intends to offer charging stations and electric attachments. Looking ahead, autonomous agricultural machinery is also planned.

Diess after VW: Chairman and Hotelier

Diess served as CEO of the Volkswagen Group from 2018 to 2022. Following his departure, he continued to receive a multi-million euro board salary. In 2025, his total compensation, including pension provisions and variable pay, amounted to over nine million euros - exceeding that of his successor, Oliver Blume. Diess officially retired from the Wolfsburg-based automaker on his 67th birthday in autumn 2025.

Since 2023, the Munich native has served as Chairman of the Supervisory Board at chipmaker Infineon. He is also involved with several start-ups and, according to previous reports, spends significant time in Spain, where he operates a small hotel alongside a cattle ranch and a pear orchard./jwe/DP/zb