Welcome to the global conference call of Mercedes-Benz. At our customers' request, this conference will be recorded. Welcome to the global conference call of Mercedes-Benz. At our customers' request, this conference will be recorded. The replay of the conference call will also be available as an on-demand audio webcast in the investor relations section of the Mercedes-Benz website. The short introduction will be directly followed by a Q&A session. If you have difficulties during the conference, please press zero and the hash key on your telephone keypad for operator assistance. If you want to ask a question after the presentation, please press nine-star on your telephone keypad, and you will hear the following message: "Thank you for your participation. Your request to speak is registered. When it's your turn to raise a question, you will hear the message: "You are now in talk mode." To withdraw your question, please dial three and the star key, after which you will hear the message: "Your request to speak has been removed." I would like to remind you that this telephone conference is governed by the safe harbor wording that you will find in our published results documents. Please note that our presentations contain forward-looking statements that reflect management's current views with respect to future events. Such statements are subject to many risks and uncertainties. If the assumptions underlying any of these statements prove incorrect, then actual results may be materially different from those expressed or implied by such statements. Forward-looking statements speak only to the date on which they are made. May I now hand over to Christina Schenck, Head of Mercedes-Benz Investor Relations and Treasury? Thank you very much. Good morning, ladies and gentlemen. This is Christina Schenck speaking. On behalf of Mercedes-Benz, I would like to welcome you on both the telephone and the internet to our Q1 results conference call. I'm very happy to have with me today Ola Källenius, our CEO, and Harald Wilhelm, our CFO. Ola will provide a brief introduction, followed by Harald, who will detail our financials. After that, we will move directly into the Q&A session. The respective presentation can be found on the Mercedes-Benz Investor Relations website. Now, I would like to hand over to Ola. Thank you very much, Christina. Good morning, everybody, and welcome to this Mercedes-Benz Q1 earnings call. I think everybody that is on this call knows what a dynamic environment we operate in. Considering that dynamism, we're presenting today a solid first quarter that Harald will go into the financials here in a minute. At the same time, we're looking at uncertainties for the rest of the year, primarily associated with the tariff situation that we will also talk about. Clearly, Mercedes-Benz, as a global player, we would prefer open markets in all directions and don't fear competition in any direction. It is not the environment that we're operating in. The trade policies are shifting, and they are impacting our business. We have put together plans and are starting to implement plans how to deal with that. More of that in a second. If we jump to the slide with the key figures here, they're pretty much in line with what we had said in the annual results conference and capital market day a couple of months ago. The first quarter of this year follows that trajectory. I would like to point out two figures that are important considering the environment that we're operating in. In the first quarter, we were able to produce a free cash flow in excess of € 2 billion, which is healthy, which is healthy in the very competitive environment and, let's say, macroeconomic environment that the world currently sees. We have a net industrial liquidity that allows us to, with a steady hand, continue to implement our plans while we are navigating through uncertainty. Please pay attention to those two figures when you look at this whole report today. If I continue to the next slide with Mercedes-Benz cars and the key messages, what drove our Q1 performance? Yes, we had a good top-end vehicle share, especially AMG performed well. We started already last year to double down even more on efficiencies, also looking at structural measures for the company where we can make the company faster, leaner, more agile. We can see that the work in that regard is starting to pay off with operational efficiencies, which is also something that supports the results that we're presenting for the first quarter. As busy as we are making sure that our company is financially resilient, I would argue we're even busier implementing our technology and product launch portfolio. For those of you who had an opportunity to follow it, yes, we presented a month and a half ago the new CLA at the world premiere event in Rome and the Chinese version of that about a week ago at the Shanghai Auto Show. If you're looking for a benchmark sedan electric vehicle in Europe, as of today, you can go into our website and order one in the configurator. I tried it last night and configured a vehicle just to see what you get. I can say the feedback that we have received so far makes us excited about this product. At the same time, this is just the first one in a whole host of products that is in the pipeline for 2025, 2026, and 2027. More than 25 launches are in the pipeline. As we're now readying this vehicle, we were winter testing the next one kind of around the corner, which is the all-electric GLC that we will present at the auto show in Munich in the fall. You can see there's one after the other. Recent new vehicle that we have just launched, a good strong seller, E-Class. Yet again, Mercedes sets the benchmark standard in safety. That's one thing that I took with me also from the Shanghai Auto Show. We let journalists and other influencers and product experts go for a test drive, Level 2++ with our new CLA in very busy Shanghai traffic, introducing also what we call cooperative steering. The computer in the car and the human behind the wheel work hand in hand in a smooth and intuitive way. With one thing in mind next to the convenience that you get with these assistance systems, it's safety. I received so much feedback considering what's going on in the Chinese market that Mercedes upholding this safety aspect as one of the cornerstones of our brand promise is something that is being very positively viewed. Around the corner, there are more innovations. We have showed and teased steer by wire. That's coming already next year. As far as I know, we're the first German manufacturer to introduce that. I've driven a prototype of it many times. Some people go like, "Oh, can I have a yoke steering wheel?" If you do steer by wire right, you can. Unless you let the computer park your car, which is more or less going to be standard with Mercedes going forward, when you're in situation driving at low speeds, steer by wire is an absolute game changer. It's just one of those technologies that we're pioneering the Mercedes way: do it right and do it safe. Next to technology and product launch, where we are fully focused on making sure that we deliver this, everything else that we said in the capital markets day, from the next-level performance efficiency measures that I just mentioned to working on our worldwide production footprint, has a new dimension now with the tariffs. We'll get to that. Everything else is proceeding as planned. Uncertainty, volatility, yes, but steadfast determination to deliver our plan and also a position and a balance sheet, Harald, if I may say so, to see this through with a steady hand. If I jump to the next slide, I come to vans, and I'm sure you have fresh in your memory what an incredibly successful van year we had in 2024. The van market as a whole is not immune to what's going on in the world. It is also fair to say that the market dynamics in the van business are also a lot more challenging than maybe they were 12 months ago or 18 months ago. In spite of those challenges, market pressure, competitive pressure, the van division has yet again in Q1 produced very healthy results. I will go into the details there. Sometimes the van team lives a bit in the shadow of the passenger car bigger team, which is not right. They should have their own limelight. The transformation that the van division is going through, knowing that the cycles, especially on the commercial vehicle side, are longer than normally you have on passenger cars, the van team is going through the biggest technological and product changeover in 20 years. We are now starting to see the first fruits of those efforts. We presented a show car in Shanghai that we called the Vision V. When you look at the show car, maybe you think, "Isn't that a little bit over the top?" Yes, it is a crazy, almost above S-Class type level luxury in a multipurpose vehicle. That is what Chinese customers want. Stars and starlets, captains of industries, they also drive MPVs. Yes, with only two seats in the back. You have your own living room, almost ballroom back there, laden with technology, pleasure, and comfort. That will be the top end of our portfolio for the passenger car side on vans. We will already kick off next year with the first product in this new family. We are now very close to finishing the job on the first product of many. The journey the few years after that replaces the complete van portfolio, which means that towards the end of this decade, we will have both electric and combustion on the van side, a fully new lineup of everything, state-of-the-art technology. That is some heavy lifting. There is also a lot of investment. We talked about that in the capital markets day. It is worthwhile because this very significant business is not only growing in size, it is also a profitable business that supports our overall cash flow production. The van people are also working on efficiencies and also restructuring. One thing that is worth mentioning there is that we have sold our business operations in Argentina to get a better utilization situation of that plant. We can still access it, but it improves overall our fixed cost position while protecting our access to the market. We do not shy away on the van side either of making structural changes if they are necessary. I think I will stop there and let Harald take us through the financials. Harald, please. Thank you very much, Ola, and hello, everybody. Let's have a look on the car sales on page five, a bit more in detail. I think worthwhile to note that the top-end share reached 15% in the quarter, very much supported by a good run on AMG, 17% up, as well as on the G-Class, 18% up with full product lineup availability, including the electric G-Class. Worthwhile to mention as well that in China, we could maintain the leading position in the luxury segment above 1 million renminbi. Also, I think strong performance on the core side. If you look on the E-Class with more than 30% up and the GLC with a 14% increase over the year. On the entry, we basically see the impact from the phase-out of the previous Smart and the model transitioning in the segment. We are recalibrating that segment with the new CLA, which will be launched in Europe in the summer, followed by the U.S. and China later in the year. Looking on the XEV side of things, the share stands at 19%. Plug-ins are up 8%, mainly in the U.S. market. On the BEV side, we see the impact of the run-out of the electric Smart and an overall dynamic market environment. Obviously, the CLA to come will have an impact later in the year and then in 2026 when we fully ramp, supported obviously by the GLC and the C-Class Electric to come in 2026, very important vectors for EV growth in the future. On page six, we see the key financials. The sales we talked about, the revenues are €9 billion with a sales evolution. We have an ASP, a healthy ASP of € 72,000. I would say on the EBIT and the cash flow evolution, we look a bit more in detail on page seven. First on the EBIT walk, on the EBIT bridge in the first quarter, year over year, that sits at € 1.8 billion, respectively 7.3% return on sales. First on the bucket volume structure and net pricing, what is included there, obviously an effect from lower unit sales, a positive impact from the mix, a softer net pricing in the first quarter, measures for product enhancement, which rate on the profitability here, but also lower contributions from used car business as well. Overall, a lower BBAC parts by parts contribution, which you see here in that bucket. On the FX side, you see some impact from the developments of the Chinese yuan and the Korean won and the Turkish lira. Worthwhile to note, I would say, as Ola pointed out before on the industrial performance, we took action. In this quarter, you see more than € 700 million positive impact, some material cost optimization, tailwind from raw mats, efficiencies in operations. Yes, we can say our Next Level Performance program is gaining traction, and you can see that already visibly in this first quarter results. The R&D bucket includes a slightly higher R&D cost due to a lower capitalization ratio in that quarter. On the cash flow evolution, page eight, the CFBIT is at € 2.8 billion, supported by a positive working capital effect of € 1.2 billion. Two impacts in here, higher trade payables related to higher production volume after the winter break. Number two, higher inventories following the typical seasonal pattern in the beginning of the year. The depreciation bucket exceeds some in the investments due to a rather slow ramp-up of the investment in the first quarter. In the others, the typical BBAC adjustment of the net equity result where we did not cash in a divvy yet in the first quarter. On the van side, in terms of the sales, page nine, we had a very strong quarter in Q1 last year. This year, the sales reached 83,000 units. Favorable evolution on the private van side with 22% up, driven by positive development in the mid-size segment. On the commercial van side, we reached 67,000 units in a dynamic market environment, macro and market environment with increasing competitive pressure in this segment. Also noticeable in the quarter, the discontinuation of the Matrix in the U.S. On the BEV side, we stepped up by almost 60% thanks to the availability of the eSprinter. Page 10, you see in the key numbers, sales we explained already. Revenues are pretty resilient. I mean, let's have a look on that, how we got there on page 11 in terms of profit and then cash flow thereafter. The return on sales stands at a healthy 11.6% in the quarter. Also here on the volume structure pricing bucket, we see negative volume development, but offset by a better mix or partially offset by a better mix, and with the net pricing slightly negative. Same thing on the industrial side. Almost € 100 million of improvement from material cost as well as the absence of some prior year effects. In the adjustments, worthwhile to note, as Ola pointed out, the impact from the divestment of the operations in Argentina with impairment on the assets of € 240 million. The total impact in 2025 will be in the order of magnitude of € 400 million. On the cash flow side, the cash flow, the CFBIT reported and adjusted is around € 600 million. On the working capital side, that was favorable as well from trade receivables and payables driven by the sales development, but also a higher production volume that has been partially offset by inventory seasonality. In these buckets, I mean, you also see in the depreciation here the impact from the divestment of Argentina, which I just pointed out on the impairment side, as well as in the others, you have some impact related to FX impacts from this divestment. On the mobility side, what were the key evolutions in the first quarter? The new business is still influenced by the competitive situation in China. The acquisition margin overall continued to be in line with our target return, supporting the portfolio margin. That shows a positive trend since mid-2024. On the cost side, we were able to achieve further improvements from also ongoing commitments to drive efficiencies also at the mobility side. At the same time, we continue to expand our charging network, our own as well with the partners by adding 60 new sites and 650 new plugs in the quarter. On the financials, page 14, new business I already commented before, portfolio slightly down. EBIT evolution, page 15, first quarter at close to €300 million at a return on equity of 8.6%. The cost of credit risk improved, mainly driven by the U.S. and some one-time effects on the margin side. Volume and margin side, we had a bit of negative one-timer from provisioning of the U.K. commission case, considering latest informations here. Some further ramp-up of the charging business. The portfolio margin is flattish, but supported by the positive trend in the acquisition, as I just mentioned before. The efficiency on the cost side. Without the charging, maybe it was worthwhile to note the return on equity adjusted would sit at almost 10%. If we look at the group, the business side we explained already. The recon mainly negative due to a low-end equity result of Daimler Truck. With that, you have the EBIT adjusted at € 2.5 billion. Obviously, the van adjustments impact the group booked result with € 2.3 billion. On the cash flow, same thing, cars and vans that we explained. Income taxes in the first quarter are a bit lower at minus EUR 650 million due to seasonality effects. With this, as Ola pointed out, a strong cash flow in the first quarter of EUR 2.4 billion, which brings us to a healthy balance sheet with EUR 33 billion on page 18, a very comfortable level to navigate through a period of uncertainty. We are looking forward to the AGM next week to approve the divvy of EUR 4.30 and also to grant authorization for further share buyback of up to 10%. Looking forward to that event next week. Now, probably the part which is even more exciting and interesting is the outlook. I think we need to spend a bit of time on that to have a proper understanding. Page 20, first I would like to talk about, I mean, the divisional guidances for 2025. Please read and consider the assumptions on the top of the chart carefully as we're navigating through an environment which is very dynamic with an exceptionally high level of volatility. We would like to look at the underlying business in the first place before considering any additional tariffs, which were announced since the beginning of March. Maybe just to say at this stage, by doing so, we can confirm all the KPIs which we outlined in the full year guidance. Let's have a deeper look into that, starting with the car side on the sales guidance. In February, we said we would take a cautious view for 2025. I think, I mean, that will prove to be right as we continue to see a situation in China, which on the macro side is still subdued. We see an ongoing competitive market environment in China at this point of the year and also moving forward. In Europe, we see robust sales performance with a good level of order intake at a healthy level and an order reach into the third quarter. On the U.S. side, we also see solid momentum with stable underlying customer demand. The year-on-year group sales, we see a bit lower, in particular on the second quarter. However, all of that moving forward is very much dependent on the U.S. trade policy situation and the impact on market demand. Overall, with this, we continue to see the car sales to be slightly below prior year. The XEV share confirmed at 20-22%. Again, before direct and indirect impacts from the tariff policies, we would see the return on sales adjusted between 6-8% for cars and equally for the cash conversion rate. No change to PPE and the R&D side. On the van side, on sales, we continue to see sales slightly below prior year due to flat markets with intense competition. The XEV share unchanged. We would also see the return on sales adjusted unchanged between 10-12%, equally the cash conversion rate before the tariff impacts. No change to PPE and R&D as well. On the mobility side, we would also see the guidance at 8-9% for the return on equity with a charging impact, which is approximately 150 basis points, meaning for the full year, which means we are closer to the 10. Now, considering the tariffs on page 21, as I said before on the cars, we would see the underlying car margin at 6-8% as guided for in the full year. As you can also see with the first quarter results. In case, however, all of the newly announced tariffs remain effective and stay unchanged until the end of the year, we would see some material impacts. Let me outline the key lags where they would hit. First, I mean, it is the imports from Europe into the U.S. that affects mainly vehicles like the GLC, the G-Class, the S-Class. Second, it is the lag in terms of the exports from the U.S. to China, which impacts chiefly the GLE and the GLS. Third, it is a lag in terms of the supply from Mexico to the U.S. on parts, which plays here, I mean, the biggest role. Even so, this is only on the USMCA non-exempted parts. On top, the GLB deliveries from Mexico to the U.S. are impacted. What does it mean or what would that mean for the car's margin? Again, if these tariffs, I mean, would persist for the remainder of the year, the full year impact is around 300 basis points on return on sales for cars. For the van's margin, without repeating everything, before that impact would be in the order of magnitude of up to 200 basis points on the return on sales of vans. Be aware, however, that the impacts I just articulated are full year impacts. This means that the tariff impact is materializing over three quarters to come if they would continue to persist. Therefore, the impact in the quarter is at a higher level. These impacts I mentioned before also include some technical mitigation measures such as pre-stocking. The cash conversion rate might also be affected. Indirect effects or collateral consequences on markets, consumer sentiment, demand, and sales are currently difficult to predict. As we can also see with the announcement last night, further evolution of trade policy, respective direct and indirect effects, as well as mitigation measures are so volatile that an accurate full year guidance based on today's knowledge cannot be reliably provided with the necessary level of certainty. What does it mean for the group guidance, page 22? Following the same logic as for the segment guidance, considering, I mean, the tariffs, the group KPIs would also be impacted respectively. Group EBIT and group cash flow would be expected lower than before in case tariffs persist until end of year. Looking at second quarter free cash flow, it is to be expected to deteriorate. I mean, the cash flow is expected to deteriorate materially versus the first quarter, considering, I mean, these tariff impacts as well as the seasonal positive working capital effect in quarter one, which I emphasized before. I hope that gave you some color on this topic. With this, I hand back to you, Ola. Thank you, Harald. As you have just heard from Harald, we're operating in an environment with a high level of uncertainty. In such an environment, you have to make sure that you can react with the levers that are available to you in the short, mid, and long term. That is what we're doing. It creates a level of uncertainty that we cannot say for sure exactly how those three quarters that are coming towards us will play out. I can say this, though, that with a high level of speed, we're acting on all of these levers. Discussions on the regulatory side, and we can, Harald just mentioned, see that that space remains dynamic. Maybe there can be changes, but we cannot bank on them. That is why we have made the guidance choice that we have made. If we look a little bit into the longer future in the next three, four, five years, what does it mean if the world goes more regional? You have to follow that trend. That is what we're preparing as well. It's not like we have not been following this trend. In fact, for more than 30 years now, we have been building our global production network. We have sizable operations in the United States. We have been in the United States for more than 120 years, employed directly more than 11,000 people and indirectly 150,000 people. We feel also like an American company. It is also true to say, and I think Harald illustrated that quite clearly, that we are an export champion in all directions into the United States, out of the United States, out of the United States, to 150 countries around the world, and from different countries into the United States. This does have a material impact on our business. We will now carefully look at our production footprint, our localization footprint, be it models, components, or other things to adjust this business system over time. I have to emphasize over time because you do not do these things overnight. It takes some years to get to the other side. That is why, as I mentioned at the beginning of the presentation today, it is so important that you start this journey, partially the new journey compared to what we had before, and from a position of strength and that you have the financial firepower to see through your game plan. On the innovation, technology, product launch side, whereas we are always careful, we pinch pennies. We do not throw money into projects that would not lead to market success, of course not. We are, in a very steadfast way, going to deliver the product program that we presented to you in the Capital Markets Day in February. Even more important now, it was important before, but it becomes even more important now, is the Next Level Performance Initiative to work on efficiencies, to work on structural measures, to lean down and slim down your organization to become faster. All of those activities will continue with unchanged intensity, maybe even more intensity. What does that mean in the end also for our shareholders? If you have this view of financial resilience, but also determination to see your plan through, I want to reiterate and underline that we remain committed to our capital allocation framework. That is what we are operating under. With regard to share buybacks that we will take now to the annual shareholders meeting again, of course, we will, as we have said all the time, and we introduced the cash flow policy, we will make sure that that is synchronized with the free cash flow generation. I think that is very important. The phasing and timing of it is synchronized with free cash flow generation. The policy as such remains. Before you ask it, the Daimler Truck stake sales, as was announced also in the Capital Markets Day, is strategically on the agenda. I would say that the current market environment, maybe right now, is not supportive to do this on Monday morning. We have it on the radar, and we will decide on timing when we think that it is opportune. To have a healthy balance sheet that we have built up over the many years gives us a position of strength to execute in a dynamic environment that I have to say I probably haven't seen in my 32 years in the company. We are going to, as I mentioned, with a steady hand, take the measures that are necessary to navigate through this period as well. I think that concludes our presentation, and I will hand back over to you, Christina. Thank you, Ola. Thank you, Harald. Ladies and gentlemen, you may now ask your questions. I will identify the questioner by name. However, please also introduce yourself with your name and the name of the organization that you are representing before asking your question. A few practical points as usual. Please ask your question in English. As a matter of fairness, please limit the number of questions to a maximum of two. Now, before we start, the operator will explain the procedure. If you want to ask a question, please press nine and the star key on your telephone keypad. You will receive a confirmation that you are now in the queue. To remove the question, please press again three star on your telephone keypad, and you will receive a confirmation that your request has been removed. Again, to ask a question, please press nine star on your telephone keypad. If you have difficulties raising a question, please try another conference call telephone number indicated in the invitation you received, or press zero and the hash key on your telephone keypad for operator assistance. We start the Q&A, and the first question I would hand over to Josè Asumendi from J.P. Morgan. Good morning. It's Jose from JP Morgan. A couple of questions, please. Maybe Ola, look, I would love to get a bit more sense of the discussions, please, with the U.S. authorities. I am aware there's so much you can say also, as obviously negotiations may be still going on. In simple terms, what are they looking to achieve with the tariffs? Are the negotiations done on an OEM by OEM basis? What can you offer in the U.S. when it comes to engines, transmissions, or assembly of vehicles? I would love to understand also, do they value, appreciate the work you're doing in the U.S. when it comes to building cars and providing employment? Follow up by the second question, please, on China. Harald, I would love to get a bit more sense on the contribution from BBAC on the profit bridge and whether the capacity adjustments you're planning in China, whether that has already been reflected in the first quarter, or that improvement should be maybe seen in Q2 or the second half of the year. Thank you. I will start with the U.S. question. As I mentioned in the presentation, we have been in the United States for more than 120 years. We have invested tens of billions into our operations there, mainly in Alabama and in South Carolina as far as production is concerned. We are in more than a dozen states, have a deep R&D presence in the United States, operate almost 400 partners with dealerships that alone employ 30,000 people. I think it is very much appreciated that Mercedes-Benz is also an American company. There is no question that for the largest economy in the world, we have a plan forward to grow in that market. The tariff situation throws a twist into this whole picture. We are, as I mentioned, looking at plans to, in the next years, further expand our footprint in the United States. Yes, we are also speaking to officials in the administration about this. What I would not like to do on this call is to go into the detail of such talks. They are being held in a constructive atmosphere. Our mindset going into those talks is to say, what can we do that is positive for the United States, but also positive for our business model? Those discussions are ongoing. If there are significant or material changes, I'm sure that they will be made public. At this stage, I would not like to go into the details of those discussions. Jose, on your second question on China in the bridge, I mean, what I commented before, basically, we can see that we had a lower level of supply of parts by parts to China, whereas obviously the BBAC result, I mean, is in the other bucket. I mean, that is running at a bit of lower level. However, I can say all of the measures we talked about in the Capital Markets Day in February are active. BBAC management is working hard, I mean, to drive the efficiencies also at the BBAC level, adjust capacity to the market demand, bring forward, I mean, the fixed cost saving, the productivity gains in operations and supply chain, and therefore protecting a healthy level of profitability in the BBAC in the first quarter, which is incorporated in these numbers. Thank you. Okay. Thank you, José. I'm moving on to Tim Rokossa from Deutsche Bank. Thank you. Good morning. It's Tim. I have two questions, please. The first one is also, Ola, I think following up basically on what José just asked. Can you help us to provide some sort of idea of how you can mitigate this impact of the tariffs in the U.S. in the short term? How extreme would you do the mixed management? Do you go to a level where you basically only import the G-Class and the S-Class? Can you increase prices for all of your cars? Is there any at least vague ideas that you're willing to share with us already today? Secondly, maybe reverting the questions also to something that's a little bit more positive. We're noticing a decent environment in Europe. Harald, you also mentioned that. We're seeing that in the VW order intake as well. Is that something that you think is a sustainable trend? What do you think is driving it? Any sort of feeling for the European consumer? Thank you. Tim, one thing that we said in the presentation was that you can calculate the crude effects of what the tariffs mean mathematically. What is more difficult to calculate is the impact on the market behavior. Because the tariff system is affecting the market participants in an asymmetric way, to make those predictions are even more difficult. Whereas I don't want to, in an analyst call, go in and give you the detailed strategies on our go-to-market product allocation and pricing, as you can understand. You can also rest assured that we very much understand how to use those levers. We will. We have, and I want to underline that again, we have sizable operations in the United States where we make our large SUVs, the GLE, the GLS, the EQE, and EQS. In that asymmetric game, we have some assets there. In the short term, you have to look at all of the above. Maybe what you, I think, should refrain from, especially in a situation that is this uncertain, is to take too drastic of an action too soon. Because that can affect your market participation later on. I think you have to also exercise a level of strategic patience here, even if it affects you financially, as Harald illustrated. All levers are being looked at. In the midterm, mid to longer term, it is more about the overall footprint in the world. What does that production footprint and supply footprint look like? That is something that takes years to implement. Tim, on your question on Europe, yes, we see, I mean, if we commented on sales before, but if we look also on the order intake in Europe, in the first quarter, I think this is running at a decent level. We all know that, I mean, in the U.K., you always have a bit of a seasonal peak in March. Even considering that one, I think that sits at a healthy level. How can we explain that? I think it's chiefly, I mean, the product portfolio, which is gaining a lot of good attraction on E-Class, on GLC. As Ola said before, we're pretty sure that now with this super attractive CLA product coming to market in Europe in summer, we'll gain some further momentum in the second half of the year. Looking into the GLC and also the C-Class Electric for next year, I think it's really, I mean, the product firework, I mean, which builds the curve here. For sure, we need to make sure that we're competitive. I mean, also when it comes to the pricing side, action has been taken in this respect, and we see the benefits of that coming through in the quarter sales, but also in the outlook, as we just commented before here. Thank you. Thank you, Tim. I'm moving over to Patrick Hummel from UBS. Thank you, Christina. And good morning, everyone. Two questions also for me. The first one, BMW was talking about using their flexibility in the U.S. capacity and maybe redirect demand a little bit away from sedans towards SUVs. I am just wondering what your flexibility in Tuscaloosa looks like as far as current utilization rates are concerned. How much could you increase output there of the SUVs and maybe try to sell more GLEs rather than E-Classes? Would you say that is a material potential offset or material mitigation against the 300 basis points headwinds that you were talking about for the rest of the year? My second question, GLE and GLS for China. Can you comment at least qualitatively to which extent you're covered for the year in terms of vehicles that you already have in China? I would assume this is a very profitable product still for the Chinese market. With the current import tariff situation, it does not make any sense to ship anything from the U.S. to China. I am just wondering, will we see later in the year some negative impact here from shrinking GLS, GLE sales in China, or can you maintain that run rate with the stock levels you have? Patrick, I'll start with the first one and hand the second one to Harald. Yes, we have flexibility in the Alabama plant for the SUVs that we build there. If we can create market momentum or market shift like you suggested, yes, we would do that, and yes, we can do that. What kind of an impact that would have, that is also wholly down to the overall market dynamics, which really is very, very difficult to predict at this point in time. Yes, the flexibility at least is there. Patrick, with regard to the second question, yes, I mean, we do have inventory on GLE and GLS in China, which takes us, I think, into the second quarter. For sure, at a point, later in the year, I mean, vehicles coming to China would be exposed to these prohibitive levels of tariffs. Any impact, I mean, on that one, we included in these 300 basis points adjustments in terms of tariff risk I mentioned before. I think globally, I do not want to comment too much on macro, but if this level of tariffs would persist, I think we would see other evolutions in industry and markets far beyond that. I think we can navigate through a second quarter, and then we will watch, obviously, very carefully the evolution on this super prohibitive level of tariffs. Harald, if you allow me a follow-up, with that 300 basis points quantification, we understand this is before mitigation, and you are not going to talk about pricing here too much in detail. Would you say that 300 basis points should also be kind of a base case if the tariffs do not change, what we will see actually as an outcome? Are you very confident that the net impact of all of this, net of the mitigation that you would be planning to do, would be smaller than the 300 basis points for the calendar year? I think we give already quite a lot of color here. The 300 basis points, number one, assumes the current set of tariff policies, decided and communicated. The ones from last night, we need to assess a bit in detail. Globally, this is based on what has been decided post-March 11, I think. Number two, it takes into account the inventories which are in the respective countries in the U.S. and China, as I just commented before, and a few mitigation actions, but not an entire set. It would assume, I mean, these tariffs to persist for the remainder of the year. That is what is included in it, including the prohibitive ones on China, as commented just before. That's helpful. Thank you both. Thank you, Patrick. We're moving on to Philippe Houchois from Jefferies. Yes, good morning. It's Philippe Bouchois, Jefferies. Thanks for taking my questions. I have two, if I can. First of all, first is maybe, Harald, could you just again confirm the 300 basis points you talk about is before mitigation? Because I'm hearing a different comment from someone else right now. The second, maybe more for Ola, is I'm just trying to think. When we think about, I mean, you've rightly explained, you've worked on your global footprint, you've made things more efficient. The issue is still that a lot of the content that you import in North America is powertrain-related and largely ICE-related. I'm just trying to understand how difficult it is near-term and maybe longer-term also to shift more of that content of engines to the U.S., shift out of Europe engine blocks with that unfinished and finish them more into the U.S. and shift that content. If I take it one step further, we're looking at a world where Europe is trying to kill ICE. The U.S. is not trying to kill ICE. Neither is China. Should you consider over time to just move your engine, your powertrain, or ICE capabilities to North America because it makes sense for the next 20 years versus Europe? Thank you. Yeah, Philippe, on the question of the 300 basis points, I think, again, inventory is included. If you consider that as a mitigation, some very preliminary measures are included. Anything going beyond that, from discussions, as Ola commented before, from further, I mean, localization, industrialization actions are not included in that. On the other side, let me please remind you as well, as I commented before, that the 300 basis points impact is a full-year impact, and the impact on the quarters is going to be higher, respectively. Maybe to add to that, and I think that was my answer to Tim Rokossa. Of course, we are fully aware of every single lever that is available to you in the short term, but also in the longer term. I'll get to that. That's the second part of your question. I think we should all be mindful that you can not just push a button and say, "Okay, I have a tariff. Let's just raise the price and everything stays the same." That is not how a market economy works, especially in an asymmetric market situation. I would not be, if I were in your shoes, too casual about thinking about that. That requires some very deep thought. Just to add to what Harald said, if you talk about an industrial footprint, in the flows of goods, of cars and parts that was mentioned in Harald's presentation, he made it quite clear that the major part of those flows, of course, is the fully built vehicles. That is the number one thing that is included in this effect on our business model. Yes, the parts also matter because there are tariffs on parts as well. There was some transient relief suggested yesterday that we are calculating. It is something that you have to take into the equation. Looking at the parts, we are going through and have been going through every single component in the car that is not already in the United States, looking at what you can do in the, let's say, medium-midterm to long-term. Powertrain is one area where you can do that. Setting up assembly is something that can happen faster. Deep localization, where you go into the complete components with castings and forgings and so on and so forth, that is a longer endeavor. There you also have to look at part by part what you end up with in terms of scale on the other side compared to the scale that you have in your original production site and what is the cost difference of that. This is also a very detailed, very rational economical exercise, not a push-on-the-button type of exercise. The internal combustion engine industrial structures that we have built up in Europe over more than 100 years to move them quickly to two other economic regions, I would say, is probably prohibitive from a capital spending point of view. A drastic scenario like that in the midterm is not on the cards. I do not want to turn this into a policy speech, but in the automotive strategic dialogue that is going on between the auto industry and the EU on the path towards 2035, in my role as president of ACEA this year, I think all of the manufacturers and, first and foremost, all of the many thousands of suppliers have made it very clear that we need a pragmatic and flexible path towards decarbonization. Those discussions continue, and I think there is much to learn from some of the policies that China has applied in this regard that allow flexibility while at the same time successfully decarbonize. I'm hoping and hopeful that in light of Europe's current economic situation and competitiveness situation, as was mentioned in the Draghi report, we shall find this pragmatism and flexibility to achieve three goals: decarbonization, a healthy industry with good jobs. By the way, it's 7% of all of Europe's GDP, and 33% of all private R&D expenditure in Europe is the automotive industry. At the same time, mobility security through supply chains so that we do not, quote-unquote, accidentally create new dependencies where we are today fully independent in terms of our mobility needs in Europe, that we create dependencies on supply chains where we simply lack the time, will, or ability to create those in Europe in the next 10 years. I could not resist giving that policy speech while I am on the air here because I think it is hugely important for Europe's industrial competitiveness and supportive of an intelligent decarbonization. Thank you. Much appreciated. Thank you. Thanks, Philippe. We have one more question in the line right now. It goes to Henning Cosman from Barclays. Henning, over to you. Yeah, thank you so much. Perhaps just in the last few minutes that we have, I just wanted to squeeze one to make absolutely sure that we're on the same page about the mitigation and the 300 basis points being included or excluded. Can I just ask if you said, Harald, tactical inventories included, some preliminary measures are included. Anything over and above that is not included. Let's just say conceptually the status quo remains. If you had additional mitigation such as price increases, then the impact would be lower than the 300 for the full years. Is that the correct understanding? Thank you. If you would have a substantial change in commercial policies, I mean, that is not included in 300 basis points. On the other side, as we said also before, I mean, what cannot be reliably assessed at this stage is a larger scale indirect market, consumer sentiment, consumer demand, implications from the tariff policies at large. Please consider both sides. Thank you. That concludes our Q&A today. Ladies and gentlemen, thank you for your questions and for being with us today. Thank you very much to Ola and Harald for answering the questions. Investor relations remains at your disposal to answer any further questions you may have. To all of you, have a great morning, a great afternoon, and a great evening. Thank you and goodbye.