Volkswagen is analyzing the elimination of up to 100,000 jobs

Volkswagen announced an operational profit of 3.5 billion euros for the period April–June, down nearly 10% compared to the same period last year and below analysts' estimates of 4.3 billion euros.

The company now estimates a decline in sales revenue of up to 3% for 2026, after previously forecasting growth. These results come in the context in which Volkswagen is considering eliminating up to 100,000 jobs, double the previous estimates, in response to declining profitability caused by tariff costs and competition from Chinese automakers.

CEO Oliver Blume emphasized that the group's cost structure is 20% higher than that of competitors, necessitating efficiency measures. Volkswagen shares fell by 3% after the results were published, and since the beginning of the year, they have lost nearly 30% of their value. CFO Arno Antlitz mentioned that the 4% operational margin is a warning signal, calling for a second phase of restructuring.

Volkswagen is facing major challenges in the industry, including high costs and intensified competition, and Blume described the situation as a "risk scenario without precedent".