Volkswagen cuts 50,000 jobs and warns of China slump
Volkswagen said its supervisory board must settle Audi's proposed US plant while the group will cut 50,000 jobs after demand weakened, especially in China. In April Volkswagen cut 20,000 Chinese roles, reducing regional headcount from 90,000 to 70,000, and warned of further reductions. The group flagged $11.5 billion in financial adjustments, largely linked to Porsche problems and a sharp deterioration in China, and cut its 2026 operating margin forecast to a maximum of about 1 percent. Executives cited tariffs, fierce Asian competition and an accelerated shift to less profitable electric vehicles as key pressures.
Volkswagen will cut 50,000 jobs amid a China market collapse
Context
Demand in China has fallen and competition has grown. Volkswagen booked large adjustments and cut jobs in China. The supervisory board will decide on Audi's US plant and more cuts are likely.
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