I would like to welcome you all warmly. I hereby open the virtual annual general meeting 2024 of Mercedes-Benz Group AG. As Chairman of the Supervisory Board, I will chair the meeting in accordance with the articles of association. The Board of Management has made use of the authorization in Section 11(2) of the articles of association, and after careful consideration, has decided to hold this annual general meeting in the virtual format. The physical presence of shareholders, whom I refer to collectively as shareholders in German, without naming genders. For reasons of simplification, as well as the physical presence of their authorized representatives is not possible here. Only the company's proxies will be present on site.
In deciding in favor of the virtual annual general meeting, the board of management took particular account of the aspects of sustainability and cost-effectiveness, as well as the company's own digital strategy, while at the same time safeguarding the rights of the shareholders. Apart from myself and the Deputy Chairman of the Supervisory Board, Mr. Ergun Lümali, all members of the board of management are here in person today in the room from which the annual general meeting is being broadcast. With the exception of Lisa and Tony, Monika Tielsch, and Roman Zitzelsberger, who were unable to attend due to urgent commitments, all other members of the supervisory board have gathered at company premises in Stuttgart-Untertürkheim, not far from the venue of this annual general meeting. From there, they'll participate in the AGM via video and audio transmission. Notary Public Dr. Sinner.
Whom I'd like to welcome here, will notarize today's AGM. Ladies and gentlemen, via the access-protected investor portal, shareholders who've duly registered for the AGM or their authorized representatives can connect to this annual general meeting electronically, exercise their shareholders' rights, and follow the entire AGM live in audio and video. Shareholders or authorized representatives entered in the share register who are not registered for the AGM also have access to the investor portal. Without proper registration, however, you will not be able to connect electronically and exercise any shareholder rights at the AGM. In this case, you can only follow the meeting live as a spectator in its full length. This also applies to invited guests and accredited media representatives.
The opening of the annual general meeting and the speeches by the chairman of the supervisory board and the chairman of the board of management will also be broadcast live on the company's website for other interested parties. Only shareholders who've duly registered for the AGM or authorized representatives who are connected electronically to this AGM can register speeches in the investor portal, which must be presented via video communication. The option to register speeches in the investor portal has been available since 9:30 A.M. via the corresponding icon. In addition, I hereby note that the right to information pursuant to Section 131(1) of the German Stock Corporation Act may only be exercised at this AGM by means of video communication as part of a speech. In other words, questions can only be effectively asked by means of video communication during a speech.
If you wish to submit a motion, please formulate it in advance in the investor portal so that we can prepare for it. If it is not a countermotion or election proposal that has already been made available in advance of the AGM, the motion must still be presented verbally in your speech. Only then will the motion be effective. Once you have registered your request to speak in the investor portal, and once it has been processed, you can enter the virtual waiting room right through the investor portal. A member of the technical team will contact you there. When registering to speak, please also refer to the explanations in the invitation to this annual general meeting, as well as the information on using the investor portal and the information on video communication that is available on the company's website.
You can register to speak via the investor portal as long as the list of speakers has not been closed. However, please register your wish to speak as soon as possible so that we know more or less how many speakers we can expect. Shareholders who've duly registered for the annual general meeting and who are connected electronically, and this also applies to their authorized representatives, can use the investor portal to object to questions that they believe have not been answered adequately and object to the resolutions of the AGM. The notary public himself has access to the declarations received via the investor portal. Ladies and gentlemen, I would now like to give you a brief overview of the proceedings of today's AGM. My own remarks will be followed by the speech by CEO Ola Källenius.
We have published the main content of his speech and of my own speech in advance on the company's website. On the company's website, you will also find the statement submitted by a shareholder in text form that was submitted prior to the AGM. Following the CEO's speech, Harald Wilhelm will inform you about the current share buyback program, followed by the general debate with alternating rounds of speakers and answers. Once the general debate has been closed, we will proceed to vote on all items on the agenda. As explained in the convocation and the registration information, shareholders registered for the AGM and their authorized representatives may only exercise their voting rights by postal vote or by granting power of attorney and issuing instructions to the company's proxies.
You can also change your voting rights today via the investor portal up to the time specified by me during the voting process. The annual general meeting will be briefly interrupted to determine the voting results. I will take note of and announce the results. Much for the process. The list of attendees at today's AGM lists the shareholders who've joined who are represented at the AGM electronically and the representatives of shareholders who have joined electronically. The list of participants will also be made available to this group of persons in the investor portal. It will be updated until the start of voting and will also be available here on site. Let me now talk about the agenda.
Ladies and gentlemen, 2023 was a year that was characterized by difficult economic conditions, a weak global economy, inflation-related cost increases, high energy prices, and last but not least, the turbulence surrounding the federal budget as a result of the ruling by the Federal Constitutional Court. These factors caused the German economy to shrink last year. There was also a noticeable increase in competitive pressure on the automotive market. Supply bottlenecks also continue to be an issue in our industry. It wasn't only Germany's economic development that dominated the headlines in this country last year. Increasing geopolitical tensions and political instability, the ongoing suffering of the Ukrainian people under Russian aggression, the human tragedies caused by the armed conflict in the Middle East, and devastating natural disasters have kept people on tenterhooks.
Mercedes-Benz Group AG has supported various aid organizations in the Turkish-Syrian earthquake region, as well as in Ukraine and the Middle East, offering financial and material support in the form of donations. In so doing, the group wishes to fulfill its humanitarian obligation and social responsibility. In the midst of this challenging environment, your company, dear shareholders, has proven its resilience and closed the past year with a sound result. The strong product portfolio also ensured that sales increased by 1.5% to more than 2.4 million cars and vans in 2023. Sales of electrically powered vehicles increased further compared to the previous year. There was constant demand from customers, of course, in the upper segments. The Mercedes-Maybach EQS SUV, which celebrated its world premiere last year and will be launched in key markets this year, epitomizes both segments.
At the same time, the company's digital transformation was driven forward. At the beginning of last year, for example, a detailed outlook was given for the Mercedes-Benz Operating System or MB.OS for short. DRIVE PILOT, our system for highly automated driving, has been available-
This is not the only way in which our company emphasizes and confirms its multifaceted ESG commitment. Ambitious targets have also been set and significant progress made in other ESG areas such as emissions reduction, climate protection, human rights, and responsible corporate governance. The company, furthermore, has also supported the common good in many ways. For example, the global support program beVisioneers: The Mercedes-Benz Fellowship is already being financed for the 2nd year with donations from the sale of the 300 SLR Uhlenhaut Coupé. Ola Källenius will go into more detail about this program in his subsequent speech. Sustainability is firmly anchored as a key success factor at Mercedes-Benz. Since August 2023, the steering and coordination function for sustainability management in the company has been centralized in Renata Jungo Brüngger's Board of Management department. There are two main reasons for this.
Mrs. Jungo Brüngger and her team were already responsible for many aspects of the sustainable business strategy, such as compliance management. Secondly, we want to take account of the constantly growing complexity and increasing legal relevance of sustainability-related issues and create a central point of contact for all relevant stakeholders. Ladies and gentlemen, dear shareholders, although large parts of the automotive sky were cloudy in 2023, your Mercedes star kept on shining brightly. The company continued to implement its strategy and to develop successfully. In order to meet your expectations, dear shareholders, the company launched a share buyback program worth up to EUR 4 billion over a period of up to two years in March 2023. In February of this year, the company adopted a share buyback policy.
This states that the future Free Cash Flow of the industrial business after M&A transactions will be used to finance share buybacks, provided that it exceeds the dividend payout ratio of around 40% of consolidated net income. This applies, of course, subject to the resolutions of the corporate bodies required in individual cases. In connection with the share buyback policy, the company has announced an additional program to buy back own shares worth up to EUR 3 billion, which will begin in May of 2024. Both buyback programs are based on the authorization of the 2020 annual general meeting and are expected to be completed in the first quarter of 2025. As soon as the second buyback program starts, both program will be carried out in parallel. The acquired shares are to be canceled.
Finally, we are proposing to distribute a dividend of EUR 5.30 per dividend-bearing share. I would like this opportunity to thank the entire board of management, the managers, and all employees. The year 2023 has shown the strength of the Mercedes team. My heartfelt thanks go to my colleagues on the supervisory board for their constructive and trusting cooperation. Together, we advised the board of management on the management of the company, supported and monitored it on strategically important issues. In the midst of increasing uncertainty in global business activities, we were able to take effective countermeasures and minimize and overcome risks. This has enabled, and will continue to enable, important successes for Mercedes-Benz Group AG. What were the other issues that the supervisory board dealt with last year?
With regard to diesel emissions, the supervisory board is investigating the circumstances that led to the diesel issue and whether the necessary measures were taken, were not taken at the board of management level. In doing so, it ensured that any claims would not become time-barred in the near future. The supervisory board and its legal affairs committee monitor the ongoing civil and administrative proceedings. They also review compliance with the measures agreed with the U.S. authorities in 2020, including with regard to the technical compliance management system. This compliance management system is constantly being adapted in line with regulatory and technological developments. As already communicated in the first quarter report, the U.S. Department of Justice has closed the criminal investigation against Mercedes-Benz in connection with diesel emissions in the United States. The U.S. Department of Justice will not bring charges against the company.
With this decision, Mercedes-Benz is taking another important step towards legal certainty in connection with various diesel proceedings. I would like to take this opportunity to expressly thank the teams involved for their dedicated and highly professional handling of this complex matter. Important topic in 2023 were the antitrust proceedings. In this regard, the supervisory board continued to examine possible claims against current and former members of the board of management. It kept an eye on the risk of the statute of limitations and took appropriate measures. The supervisory board fully complies with its obligations under the Stock Corporation Act, both on the diesel issues and the antitrust matters. This was recently confirmed once again by an external expert.
For the supervisory board's detailed report on the past financial year, please refer to the 2023 annual report from page 9 onwards, which is available on the company's website. Ladies and gentlemen, our business has accelerated. This makes it all the more important to keep an eye on our long-term goals. The financial result for 2023 confirm my colleagues on the supervisory board and myself in our conviction that the Mercedes-Benz Group AG has taken the right path with its strategy, and we must continue to pursue it. In an environment that remains challenging, the company will therefore continue to work with full focus this year on driving forward the transformation in line with its sustainable business strategy. The digitalization of products, production, and sales will be systematically implemented.
The product substance will be continuously strengthened in electrified passenger cars and vans, as well as in vehicles at the upper end of the segments in which Mercedes-Benz is represented. I would now like to turn to the personnel matters of the board of management and the supervisory board since the 2023 annual general meeting. Let's just go back. Let me repeat. I would now like to turn to the personnel matters of the board of management and the supervisory board since the 2023 annual general meeting. In a time of continuous change, Mercedes-Benz is focusing on stability in the management team. At its meeting on July 27, 2023, the supervisory board therefore reappointed Ola Källenius until May 2029 and Markus Schäfer until May 2026 at an early stage.
As Chairman of the Board of Management, Ola Källenius has positioned Mercedes-Benz very well for the future. With the company's clear focus on electrification, digitalization, and profitable growth with desirable cars and vans, he has demonstrated strategic foresight. In implementing the sustainable business strategy, he has shown determination and a sense of responsibility. Today, Mercedes-Benz is more focused, more resilient, and more efficient than ever. Markus Schäfer is responsible for both development and purchasing of production materials. He has played a key role in ensuring that the company's innovative strength is stronger than ever before. The development of MB.OS and the integration of artificial intelligence are just two of many topics. At the same time, he and his team are mastering the many challenges of global supply chains that I already alluded to.
At its meeting on December 13, 2023, the supervisory board extended the management board mandates of Sabine Kohleisen and Jörg Burzer until the end of November 2025 and the end of November 2029 respectively. As a shaper of personnel change, Sabine Kohleisen and her team have set the course to ensure that our employees worldwide are fit for the future. She has placed lifelong learning at the heart of sustainable HR development and massively expanded the opportunities for professional development within the group, and this is more important than ever in this time of transformation. Jörg Burzer has consistently made the production network more flexible, digitalized it, and introduced measures to reduce CO₂ emissions. In doing so, he has created excellent conditions for the ramp-up of electro-mobility. He's also the point of contact when it comes to quality.
Individual areas are not solely responsible for consistently convincing quality. It is a matter of an overall responsibility, and that is because quality is at the core of the brand and the central promise of Mercedes-Benz to its customers. At its meeting on February 21st, 2024, the supervisory board has also decided to reappoint Renata Jungo Brüngger until the end of 2025 and Britta Seeger until the end of 2029. Renata Jungo Brüngger has played a key role in ensuring that sustainability is firmly anchored in the corporate strategy. Together with her team, she also plays a key role in ensuring that Mercedes-Benz can bring technical and digital innovations to the road with legal certainty in a complex regulatory environment. In recent years, Britta Seeger has set a decisive strategic course for global sales.
With foresight and great innovative strength, she has driven forward the digitalization of sales channels and the consistent customer focus of all areas.
On behalf of the supervisory board, I would like to wish all the reappointed members of the board of management continue to success in their new or old roles. I would also like to take this opportunity to thank my deputy, Ergun Lümali, and the entire team of employee representatives on the supervisory board for their constructive and critical cooperation. We were not always in agreement, but we always found a good solution for our company. I would also like to thank my colleagues who represent the shareholders. They were committed to the company's matters, and that went far beyond the meetings. In order to find the right way to the future, employee representatives and shareholder representatives on the supervisory board will continue to struggle to fight for the best solutions.
I hope that both sides will continue to treat each other in the same way as they have in the past. Sometimes being tough on the issue at hand, but at the same time always open and respectful and fair in discussing these matters. Based on the recommendation, and that's my next topic to be covered. Based on the recommendation of the nomination committee, Doctor Doris Höpke, former member of the Board of Management of Munich Re, will be proposed for election to the Supervisory Board for the first time under item six A of the agenda today. The election is to be for a term of office of four years until the end of the 2028 annual general meeting.
With her legal training and many years of expertise in human resources and risk management, Doris Höpke is an excellent addition to the board. I am convinced that her work will provide important impetus for the development of the company. Ms. Höpke will now briefly introduce herself in a video.
Ladies and gentlemen, with the conclusion of today's annual general meeting, my time as a member of the supervisory board, and therefore also as its chairman, comes to an end. In the spirit of long-term orderly succession planning, I proposed in the supervisory board meeting on May 3, 2023, which was one year ago, Dr. Martin Brudermüller as my successor for the position of chairman of the supervisory board. It is planned that the supervisory board will vote on this directly after the annual general meeting. Mr.
Brudermüller's current mandate as member of the supervisory board will, however, end at the close of the 2025 annual general meeting. To ensure stability in the chairmanship of the supervisory board, Martin Brudermüller is therefore today, under agenda item 6 B, being proposed for re-election as shareholder representative on the supervisory board, with effect only at the end of the 2025 annual general meeting, up until the end of the 2028 annual general meeting. Taking into account the remaining period of his current mandate, the suggested new term corresponds to the practice of Mercedes-Benz Group AG to propose shareholder representatives for election for a shorter period than the statutory maximum duration of 5 years. In the event of his election by the annual general meeting and his subsequent election as the chairman of the supervisory board, it would be ensured that Mr.
Brudermüller would be available to the supervisory board as chairman for a term of four years.
I'm delighted that in him an exceptionally capable, strategically-minded, and foresighted manager has been found for the position as Chairman of the Supervisory Board. From 2006 on, Martin Brudermüller has been a member of the Board of Management of BASF SE, and from 2018 until April 25th, 2024, which was just a few days ago, he was the Chairman of the Board of Management. Under his leadership, the company has evolved successfully, particularly in the areas of digitalization and sustainability. He has been a member of the Supervisory Board of Mercedes-Benz Group AG since March 31st, 2021. During this time, he has been a great asset to the Board with his expertise and many valuable ideas. I am convinced that with the election of Dr. Martin Brudermüller, the Supervisory Board will be under competent and forward-looking chairmanship.
Ladies and gentlemen, since first being elected to the supervisory board of the company in April 2014, working on this committee has always been both a duty and an honor, and even more so since I took over the chairmanship at the end of March 2021. I am both proud and grateful that I was able to contribute my share to further developing Mercedes-Benz Group AG in these turbulent times. The determination of management and the supervisory board is paying off. Your company is in a good position. The product portfolio is very strong and is becoming ever more electric and digital. At the same time, the company's transformation is being driven forward, and the strategy is being further implemented. The Mercedes star is a promise for the future, and I am convinced that Ola Källenius and his entire team will deliver on that promise.
I would like to thank the Supervisory Board and the Board of Management for the good, successful cooperation, and I wish them an ever-happy hand in all their decisions. I would also especially like to thank you, dear shareholders, for the trust you have placed in me. As chairman of the meeting, I am looking forward to leading you through today's annual general meeting one last time. Ladies and gentlemen, along with the resolution proposals of the management, today's agenda was published in the Federal Gazette with the convocation of this AGM on March 22nd, 2024. Since that date, and including today, the convocation, all documents that must be available and additional information have been available from the webpage of the company.
The counter proposals and the election proposal by shareholders that were submitted for today's agenda items and that must be made accessible were also published on the webpage of the company. I will refer back to them when we proceed to the vote. I would now like to touch upon a few items of the agenda. Regarding agenda item 1, I would like to point out that the annual financial statements of Mercedes-Benz Group AG, the consolidated financial statements, and the combined management report of the company and the group for fiscal 2023 were audited by KPMG. The supervisory board has approved the annual financial statements of Mercedes-Benz Group AG and the consolidated statement upon their own examination. The annual financial statements 2023 of Mercedes-Benz Group AG have therefore been adopted.
The remuneration report for fiscal 2023, which will be submitted to the AGM for approval under agenda item 7, has been examined by KPMG to see whether all mandatory details have been given. Beyond the statutory requirement, content-based criteria were applied as well. The remuneration report was given an unqualified audit opinion. Agenda item 5 requires a resolution on the appointment of PricewaterhouseCoopers GmbH
Feel free. Told you you could always count on me. Baby, there ain't no mountain high enough. Ain't no mountain high enough. Ain't no river wide enough to keep me from getting to you.
Ladies and gentlemen, welcome to the annual general meeting. We presented it a good two weeks ago, the electric G-Class. The G is an automotive legend. Everyone knows it. Most people admire it. We had a clear ambition. The electric G was to be just as good off-road as its predecessors. I can tell you firsthand, this car is phenomenal. It is the best G-Class I have ever driven. We are continuing the history of this model series with the electric G-Class, and we're making it fit for the future. Over 45 years, it has been gaining many fans all over the world. One of them is Bernd Pischetsrieder. Dear Bernd, I know that as the CEO of BMW, you didn't particularly like the G-Class. Competing against it in comparative tests is rather tough.
When you joined the Mercedes Supervisory Board, you were finally able to show how much you like it. Dear Bernd, this annual general meeting is the last one you will be chairing. You took over as Chairman of the Supervisory Board in 2021, and that was right in the middle of the strategic realignment and in the midst of major external challenges. The Board of Management has always been able to count on your advice, on your wealth of experience, and on your strategic vision. You've worked at the top of all the major German automotive companies, and the star doesn't just crown our cars but also your impressive career. Careers like yours are rare. People like you are rare. Dear Bernd, many thanks for everything you have done for Mercedes-Benz. At the same time, we are looking forward to working with Dr. Martin Brudermüller.
He has played a decisive role in shaping the German economy over the past decades, and he's also been active on our supervisory board for many years. In the future, he will be even more committed to Mercedes-Benz. Dear Martin Brudermüller, that is very good news for the entire Mercedes team and also for you, our valued shareholders. We are all determined to position Mercedes-Benz for long-term success. Especially in times of great change, it is important to know your identity and to shape your actions accordingly. This certainly applies to the development of new vehicles, but it also applies to the corporation as a whole. I would therefore like to explore the following question: What makes Mercedes-Benz Mercedes-Benz today? Put in another way, why are we optimistic about the future of your company? Let's get started. A healthy balance sheet makes Mercedes-Benz Mercedes-Benz.
We can build on that. In 2023, we sold almost 2.5 million vehicles. Unit sales of our electric cars grew by 61%. Group turnover rose by 2% to EUR 153.2 billion, and earnings before interest and tax reached EUR 19.7 billion. The Adjusted Return on Sales for passenger cars amounted to 12.6%. The figure for vans was 15.1%. The Adjusted Return on Equity of mobility amounted to 12.3%. Thanks to our focus on top-of-the-line products and our cost discipline, we achieved a Free Cash Flow of EUR 11.3 billion, and that's almost 40% more than in the previous year. As you know, supply chain constraints were continuing. There was great geopolitical uncertainty. Macroeconomic headwinds still prevail. Despite these difficulties, we managed it together.
The performance of the Mercedes team makes me proud. Thank you to all of my colleagues. The successful development of your company becomes even clearer when we look at the last few years. Since 2019, the average return per vehicle at Mercedes-Benz Cars has risen by 46%. We are selling better-equipped vehicles, and we are focusing on value stability for our customers. Fixed costs fell by 16% in the same period. Between 2020 and 2023, the company generated EUR 35.6 billion in Free Cash Flow.
By the end of 2023, net liquidity of the industrial business rose to EUR 31.7 billion. You have invested money in Mercedes-Benz, and we want this to be worthwhile. Our attractive dividend policy is designed to ensure that you continue to receive reliable dividends in the future, and you can benefit from our new share buyback policy. In future, the Free Cash Flow of the industrial business after M&A transactions in excess of the dividend payment quota of around 40% of group income will be used to finance share buybacks. We expect this to have a positive impact on earnings and dividends per share. Today's proposal for the dividend is EUR 5.30. This reflects the solid results, and it shows that the current share buyback are already having a positive impact on the value of each individual share. Total Shareholder Return.
Total shareholder return has more than doubled since the 2019 annual general meeting. That is good. Mercedes-Benz can do even more. Two things are crucial for further increases in the value of the company: sustainable financial success and a clear plan for the future, and that's what I'll talk about next. Our ambitious strategy also makes Mercedes-Benz Mercedes-Benz. We want a CO₂ neutral new car fleet by 2039 across the entire value chain. That's why the strategic aim of Mercedes-Benz is zero emissions. That is certain. However, the transformation might take longer than expected. We are therefore prepared for all market scenarios. We are creating the conditions to become fully electric, but many factors influence the pace of transformation. For example, the expansion of the net charging infrastructure.
There will be both in the coming years, electric cars and cars with ultra-modern electrified combustion engines. If the demand is there, well into the 2030s. We make sure that all relevant drive systems are fully up-to-date, and then the customer decides. We will build the perfect Mercedes for every wish. We have set our plans up for flexibility. That way, we can produce combustion engine models alongside electric cars and react quickly to the market. The star on the hood is our promise. A Mercedes is a Mercedes, regardless of the drive system. The focus remains on the upper end of the segments in which we operate. Our top models also remained in high demand in 2023. The market share of the S-Class was around 50% in all key regions. Unit sales of the G-Class rose by 11%.
Mercedes-Maybach grew by no less than 19%, and AMG also recorded an increase of 4 percentage points. This year, we are strengthening our portfolio with a targeted approach. Which brings me to my third point: fascinating products. Fascinating products make Mercedes-Benz Mercedes-Benz, and that will always be the case. Our product portfolio is younger and more technologically advanced than ever before. The best example is the revised EQS. Even more technology ensures even more operating range. The Hyperscreen will be standard in the future. We have developed new executive seats for the rear. On request, it has an upright star on the hood, and it has been available to order since the end of April. Also, already available, the Mercedes-Maybach EQS SUV. It was first launched in the USA, followed by sales release in Europe.
The first vehicles are now due to be handed over to customers in China. We have also developed the new E-Class with a long wheelbase for our Chinese customers. In China for China. As our most important market, China remains a priority for us. We will launch 15 new models there this year alone. They are specially tailored to the needs of our Chinese customers. We are drawing even greater leverage from the dynamism of automotive development in China. We have significantly expanded our research and development network there, as well as our technology partnerships. With China speed and Mercedes standards, we can also be very successful in the future. Competitive products are the key, also at Mercedes-Benz Vans. We achieved our best unit sales to date in 2023. Our electric vans showed an increase of more than 50%.
Thanks to new models, we are also in an excellent position this year. The new Sprinter and the new eSprinter have been available since this spring, also in the USA for the first time. All are equipped with our well-known MBUX system. Our mid-size vans have a completely revised model range. The E-Vito and the Vito, as well as the EQV and the V-Class. All these vehicles show that we want to offer something special. Every new product incorporates the creativity, know-how, and passion of our engineers. Thousands of fine details and working hours, they are being well invested. You see, cutting-edge technology is what makes Mercedes-Benz Mercedes-Benz. That is my fourth point. The Vision EQXX shows what is technically possible in electric drive. Our team recently completed yet another record drive, covering more than 1,000 kilometers through the Arabian Desert on a single battery charge.
With an average electricity consumption of just 7.4 kWh per 100 km. Step by step, the underlying technology is entering serious production. We provided an insight into this with a Concept CLA Class. It has a range of more than 750 km with energy consumption of around 12 kWh per 100 km. Those figures translate into something approaching a one-liter car. The CS production version of the CLA celebrates its premiere next year. We are continually improving battery technology and the efficiency of the electric drivetrain. The aim is higher energy density, increased charging performance, and lower energy consumption. With our new eCampus in Stuttgart-Untertürkheim, we are strengthening our research and development resources for future batteries. In a few months, we are opening a factory for low-volume production of battery cells.
At the same time, we are working on the cost of batteries. Over the next few years, we want to reduce this by more than 30%. The future of Mercedes-Benz will not only be electric, it will also be digital. Our MB.OS operating system forms the digital backbone of our future vehicles. We will bring MB.OS to market for the first time in the new CLA. Our teams are working full speed on this. We are currently in the final phase of system testing. Our customers have long been able to experience our software expertise every day in our assistant systems. We've been offering our DRIVE PILOT for the last 2 years. Under certain conditions, it enables the driver to hand over control to the car. It puts us on Level 3 of five en route to autonomous driving.
We want to launch an intelligent development of this system in Germany this year and increase the possible speed to around 90 kilometers per hour. Safety is, of course, the top priority for Mercedes-Benz. It's a mark of all vehicles with the three-pointed star, backed up by impressive proof with the world's first public frontal crash test between two electric vehicles. The test was successful. The passenger cells remained intact, as did the battery. The doors could still be opened. The high-voltage systems automatically shut down. For every model range, we conduct up to 15,000 digital and 150 real crash tests. Our own Mercedes standards exceed those required by law in many aspects. We have demonstrated that we are also able to use X-ray technology in a crash test, and we were the first automaker to do so. Safety is part of our DNA.
You see, we focus our thinking and our actions on the people who buy and drive our cars. Wherever they encounter our brand, they should be able to sense that they are center stage. The customer experience makes Mercedes-Benz Mercedes-Benz, which brings me to my fifth point. We are redesigning our retail spaces worldwide. At almost one-third of them, this has already been completed. Over the next 3-4 years, this will rise to more than 90%. We also want to live up to our brand promise in one-to-one contact. Right now, we're training our sales and workshop partners in a program called The Mercedes Way. We want our customers to be able to experience special Mercedes moments. Furthermore, we're expanding our global network of exclusive locations. One recent addition is in Dubai. You can look for yourself.
What we achieved there is extraordinary, it won't be unique. Quite the opposite, in fact. We want this kind of presence at many locations around the world to maximize convenience and transparency when buying a car. We are continuing the rollout of our direct sales. More than 50% of our turnover in Europe already comes from direct sales. We will continue to pursue this path, the same applies to the expansion of our online stores. More than 40 markets are already on board, the feedback is extremely positive. One crucial element of the electric product experience is also charging, which is why one of our initiatives is the construction of our own high-speed charging network. We want to install around 10,000 charging points in our core market by the end of the decade. The stations are already up and running in the USA, China, and Europe.
We want to play our part in the mobility transition, the system change, because we take our responsibility seriously. That, too, makes Mercedes-Benz Mercedes-Benz. We now offer 10 all-electric models. This is one of the broadest offerings on the market. In our production, too, emissions will continue to fall. We are working to reduce its CO₂ emissions by 80% by the end of the decade. Our plan includes two wind parks and the expansion of photovoltaic energy generation at our locations worldwide. We are also making our supply chain more sustainable. We are increasing our supply of CO₂-reduced steel, which is manufactured using your renewable electricity, and it has a high recycled content. The same applies to aluminum. Aluminum. We want to increase the proportion of recycled raw materials in our fleet, aiming for 40% by 2030.
We want to close the loop in battery materials with our new battery recycling factory. It has a recycling quota of up to 96%. The precious raw materials can be reused to produce new batteries. Beyond that, we are working on the transparency of our supply chain. Respect for human rights is our aspiration and goal from mine to product. We are, of course, investing heavily in qualifying our workforce because the much-valued work of our colleagues, it's not just part of the transformation, it's a prerequisite. Our social responsibility doesn't end at the factory gates. Let me give you a few examples of our commitments worldwide. We are supporting the people of Ukraine, same as the civilian victims on both sides of the conflict in the Middle East, and also at our facilities, we are committed to social and environmental causes.
One example here at our HQ is our cooperation with Bürgerstiftung Stuttgart, or Stuttgart Civic Trust. We'd like to support young people who are working with enormous energy to build a better future. Last year, we began supporting an independent funding program. The money came from the auction of the world's most valuable car, the 300 SLR Uhlenhaut Coupé. The program helps young people realize their ideas with a focus on sustainability and environmental protection. The second annual intake's happening roundabout now. The program is being expanded step by step for even more innovative projects. Projects like these.
My vision is to create a sustainable food supply chain. I founded a platform about food security.
We want to tackle seaweed blooms around the world and leverage all of the captured carbon within the seaweed to remove it from the atmosphere. My vision is to build the biggest CO₂ sink of the world.
I believe that education must become a more central theme in the climate dialogues. That's why I co-founded the platform for climate education.
The ideas are as diverse as the people themselves who are beVisioneers. The same applies to our company. Working together for us here in Germany are around 114,000 people from 121 nations. Without our team members with migrant backgrounds, we wouldn't be developing, building, and selling the S-Class. We need and want these people, and we are happy and proud to have them among us.
We, all of us, value Germany's diversity, openness, and cohesion, freedom and democracy. We are aware of the fact that this is not something we can take for granted. We must recommit ourselves to these values again and again. We stand before enormous change and huge tasks in economic and political terms, but we can tackle them together. For instance, the immigration law passed by the German parliament is a step in the right direction to alleviate the already evident skills shortage. The expansion of childcare and widespread introduction of all-day schooling could also contribute to this. When it comes to productivity and policies relating to the jobs market, we must be able to compete internationally. More renewable energy, as well as competitive energy prices, can likewise strengthen Germany's competitiveness. As can an intelligent European raw material strategy and new trade agreements.
Germany has the most to lose if we isolate ourselves as an export country. We don't need less Europe, but more of it, and we can send a clear signal in that regard in the forthcoming European elections. Freedom is a powerful engine. If we want to have a better future, we must actively change things for the better, and this is possible. This is exactly what we are doing here, and this mindset is also what makes Mercedes-Benz, Mercedes-Benz. In recent years, the company has clearly demonstrated its performance, competitiveness, and forward-thinking. The basis for this was trust, your trust, in our strategy, our structure, and the whole team. For that, dear shareholders, I would like to thank you. More than this, let me tell you that we take this as motivation to lead your company into a successful future.
We are well on our way. Let's keep going. I'm looking most forward on occasion of the last AGM, chaired by Bernd Pischetsrieder, to pass the floor to the Deputy Chairman of the Supervisory Board and the Chairman of the overall works council. Dear shareholders, dear colleagues, at today's annual general meeting, we heard how the Mercedes-Benz Group AG successfully mastered the 2023 financial year in spite of new challenging conditions. We were once again confronted with uncertainties, the management team and the employees of our company showed strength and resilience to advance the digital and electrical transformation in line with our sustainable corporate strategy. I would like to express my sincere thanks for that to the entire Mercedes-Benz team. The face of Mercedes-Benz has changed significantly as a result of the transformation and will continue to do so.
Thanks to new fascinating products and technologies that will be more visible and more tangible. The face of the Supervisory Board will also change. As you have already heard, this Annual General Meeting is the last one to be chaired by Bernd Pischetsrieder. On behalf of the entire Works Council, I would like to thank our outgoing Chairman of the Supervisory Board for his many years of work on the Supervisory Board of Mercedes-Benz Group AG and for his services to the further development and advancement of our company. Since 2014, Bernd Pischetsrieder has helped shape the development and direction of our company. In the last three years, he's been at the helm of our company, and these three years have been more than turbulent for our society, for our industry, for our company, and of course, also for our colleagues.
As Deputy Chairman of the Supervisory Board, side by side with Bernd Pischetsrieder, I've controlled the fate and the fortunes of Mercedes-Benz AG after the spin-off. I'm therefore all the more pleased to be able to pay tribute to him today. I'm also very happy to do this, not least because we've worked very closely together for almost three years. It's been a collaboration that, from my point of view, has been characterized by mutual respect for the tasks and also respect for each other's roles. We've been cooperating in a trustful, honest, straightforward, and genuinely interested manner, always trying to reach compromise. Dear Bernd Pischetsrieder, you've always taken care to represent the interests of all company representatives. There is no doubt that you've been a chairman of the supervisory board for both sides.
You knew how to balance different opinions, interests, and forces skillfully and cleverly. Your endeavors to create a fair and cooperative working environment have contributed to the fact that we on the committee, even if we sometimes approached the issues very boldly, always acted openly, respectfully, and fairly. In recent years, in particular, the topics have been very emotionally charged and momentous. Often enough, the perspectives of shareholder and employee representatives diverged widely. The transformation in particular, with its immense impact on the employees and their jobs, has sparked many passionate discussions on the supervisory board. Challenging, constructive, and critical cooperation has always been the driving force behind our joint, and today one can truly say, successful actions. We did not always agree. Then again, who would expect this anyway? If we had always been in agreement, one of us would have been superfluous, as the saying goes.
Despite all the discrepancies, we could always be sure to be listened to and that our topics would be discussed. Our dealings have always been characterized by mutual respect. It was arguments and not sensitivities that counted. In the end, we have always found solutions and results, and this is what matters. Cohesion and the joint endeavor to find solutions are more important than ever in times of drastic change. The attacks on our freedom and democracy, the digitalization of our economy, the global supply chains and the associated advantages, but also problems, and the unique, historically unprecedented transition to a carbon-neutral industry in the shortest possible time, pose huge challenges, not only for policymakers, but also for employers and employees.
You, dear Bernd Pischetsrieder, have always stood up for a just and fair change, with the conviction that change forms part of progress and with a firm determination that this progress should also benefit employees in a fair and equitable manner. We appreciated your understanding for the concerns of our employees just as much as your proven automotive expertise. With your many years of varied experience in the automotive industry and as a top manager, you were able to create synergy effects in the cooperation of the board, and you have positively shaped the future of our company. On behalf of the entire supervisory board, I would like to thank you, dear Bernd Pischetsrieder, for what you've done for our company. Thank you for your commitment, for your passion, and for your dedication that you have brought to Mercedes-Benz over the past important decade for the benefit of Mercedes-Benz.
Martin Brudermüller takes over a company that is well prepared for the future. Thank you very much for that.
Well, dear Ergun, dear Ola, I'm left speechless almost. Thank you very much for your words, which touched me deeply. You expressed in your speeches that at a time when Germany sees a society that clashes, but it's different groups clash because all opposition has to be fought. It was said this morning by one of our ministers. Against the backdrop of drastic changes that will affect our company, our industry. The problems have to be resolved in the right way for our company. If we can do that, we will be on the right track. I'm sure Martin will continue along these lines. Thank you very much for your words. I'd like to ask Harald Wilhelm. To tell us something about the share buyback.
Thank you very much, Bernd. This is a rather dry topic, ladies and gentlemen, on the share buyback program. On the 21st of February 2024, we adopted a share buyback policy subject to the resolutions of the company's executive bodies required in individual cases. The future Free Cash Flow of the industrial business after possible smaller M&A transaction that exceeds the dividend payout ratio of around 40% of consolidated net income is to be used to finance share buybacks. The acquired treasury shares are to be redeemed. With this share buyback policy, we're sending a strong signal to the capital market that the executive board is convinced of the company's strategic direction and its continued strong business performance in the future.
In the context with the resolution of the share buyback program, the Board of Management, with the approval of the Supervisory Board, resolved on February 21st, 2024, to launch a further share buyback program through which treasury shares worth up to EUR 3 billion, excluding incidental costs, are to be acquired via the stock exchange and subsequently retired. We expect the share buyback program to have a positive impact on the company's share price performance. The share buyback is also in line with the company's strategic investment priorities. It expresses the company's existing financial planning security for its medium-term financing requirements and underlines Mercedes-Benz Group AG's confidence in its own earning power and liquidity development. Contrary to initial plans, the further share buyback program will not begin after the premature conclusion of the share buyback program launched in March 2023 with a volume of EUR 4 billion.
Instead, both programs are to be carried out in parallel from the start of the additional share buyback program this month. The total value of the two share buyback programs amounts to up to EUR 7 billion. Both buyback programs are based on the authorization granted by the annual general meeting on the 8th of July, 2020, according to which the board of management may, with the approval of the supervisory board, acquire treasury shares of up to 10% of the share capital until 7th of July 2025. We assume that both buyback programs will be completed in the first quarter of 2025. The company intends to propose a renewal of the authorization to the 2025 AGM in order to continue the share buybacks in line with the company's buyback policy.
At around today's AGM, from April 30th to May 9th, 2024 inclusive, the share buyback is suspended. From January 2024 and up to and including the 29th of April 2024, 5,850,365 treasury shares were acquired as part of the first buyback program launched in March of 2023 for a total purchase price of EUR 398,265,752.52. These share account for 0.55% or a pro rata amount of EUR 16,786,386.31 of the share capital. All transactions are also available on the Mercedes-Benz Group AG website.
Since March of 2023, a total of 34,721,223 treasury shares of Mercedes-Benz Group AG, not currently entitled to dividends, have been acquired on the basis of the authorization of the 2020 annual general meeting, corresponding to 3.25% of the share capital. For details, please refer to the annual report and our website. Mercedes-Benz Group AG has separately agreed with its 2 shareholders, Beijing Automotive Group Co., Ltd and Geely Group, that they will each keep their shareholding in Mercedes-Benz Group AG below 10% by selling shares on a pro rata basis when the share buybacks are carried out. Therefore, I hand back to Bernd Pischetsrieder.
Thank you very much, Harald. Ladies and gentlemen, we have now reached the end of the first part of this virtual annual general meeting, which was broadcast to the general-.