The boss of Volkswagen has backed EU proposals to boost its domestic industry, arguing European carmakers need to be able to “compete under comparable conditions” with Chinese rivals. Oliver Blume said “Made in Europe” rules from the EU “must reward real value creation in Europe”, speaking in Paris before the motor show this week. The rules are aimed at countering the rapid rise of Chinese brands in Europe in the automotive sector and other important manufacturing industries. Lower-priced Chinese manufacturers have prompted a crisis in several industries. Volkswagen is among…
Tag: Volkswagen (VW)
BMW to cut ‘as many as 8,000 jobs’ under pressure from Chinese rivals
BMW is planning to cut as many as 8,000 jobs in Germany, according to reports, in the latest sign of Europe’s largest carmakers reducing costs under pressure from Chinese rivals. The Munich-headquartered company has started a voluntary redundancy programme agreed with employee representatives, a BMW spokesperson said on Wednesday. The company and its works council had agreed a severance programme targeting the administration and development divisions, the spokesperson said. Production operations are excluded. BMW’s total workforce is about 160,000. Germany’s carmakers have come under intense pressure in recent years with…
Mass job cuts loom at VW as profits fall steeply on China sales slump
Carmaker expects to sell 3% fewer vehicles this year as it pushes through a programme that could eliminate 100,000 roles Volkswagen has reported a steep fall in profits and cut its revenue forecast amid a sales slump in China, as the German carmaker pushes through a brutal cost-cutting programme that includes axeing up to 100,000 jobs. VW said it expects sales revenue to fall by up to 3% this year, a reversal of a previous forecast for a 3% increase on last year’s €321.9bn (£275.3bn), because of a sales slump…
The Guardian view on Volkswagen’s crisis: another wake-up call for Germany and the EU | Editorial
According to a recent analysis, China enjoys a surplus in its manufactured goods trade with the European Union that is roughly equivalent to Italy’s national income. That trade disparity, it is estimated, continues to grow by about 30% each year. The stark implication, according to a paper from Centre for European Reform, is that Europe, with Germany in the frontline, risks “deindustrialisation at China’s hand”. The gravity of the threat was grimly evident in the car industry last week, as Volkswagen’s supervisory board met to discuss radical proposals to cut…
German car industry warns of job collapse unless ‘bold decisions’ made to address Chinese threat
The German car industry has warned of a potential collapse of employment in the sector in Europe unless society and workers accept that “bold decisions” are needed to address competition from the Chinese and other rivals. Volkswagen is preparing to formally propose up to 100,000 job losses, a move that has triggered a wave of protests. The statement from the German Association of the Automotive Industry (VDA), which appears timed to coincide with this meeting, went as far as to say that handing some of the country’s car plants over…
Volvo and VW say Dutch takeover of Chinese chipmaker could halt car factories
Car companies across Europe and Japan including Volvo, Honda and Nissan, have warned that the Dutch takeover of a Chinese-owned chip manufacturer could hit production at factories. Last week’s decision by the Netherlands government to take control of Nexperia has sent shock waves around the auto industry, which is already facing potential shortages in products such as magnets amid China’s latest restrictions on rare earths exports. The Japan Automobile Manufacturers Association, whose members include Nissan, Toyota, Honda and Mazda, said on Thursday it had received a warning from Nexperia that…
Moment protester throws cake at Volkswagen chair during AGM – video
Protesters threw what appeared to be cake at the Volkswagen chair, Hans Dieter Pötsch, at a shareholders’ meeting on Wednesday. Pötsch can be seen ducking to avoiding being hit. About 10 activists also interrupted the speech by Volkswagen’s chief executive, Oliver Blume, protesting against the carmaker’s plant in China’s north-western Xinjiang region by waving banners that read: ‘End Uyghur Forced Labour at VW’ The Guardian