The automotive industry is facing potential job cuts across various carmakers as they strive to streamline operations and reduce costs. Skoda, Audi, Mercedes-Benz, Nissan, and Aston Martin are among the manufacturers looking to make adjustments to their workforce to improve efficiency and financial performance.
Skoda plans to shrink its workforce indirectly by 15%, despite aiming to sell over one million cars a year. Similarly, Audi is targeting a reduction in personnel costs by €1 billion annually as part of a reorganisation process. Mercedes-Benz is planning to cut 25% of its workforce costs in China by 2027, with a focus on sales, finance, IT service, and legal departments.
In the UK, Nissan has announced the cancellation of night shifts on one production line at its Sunderland plant, although no jobs will be lost due to these changes. Aston Martin is also set to reduce its global staff by around 5% to lower costs and enhance future investments.
On the product front, Kia has unveiled several new models as part of its EV Day event. The EV4, a battery-electric vehicle available in hatchback or sedan variants, boasts impressive range capabilities. The Korean automaker also introduced the Kia Concept EV2, a vision of an upcoming B-segment BEV with innovative design features. Additionally, the PV5, Kia’s first platform beyond vehicle model, was showcased in four variants.
In terms of infrastructure, Volklec has announced plans for a new gigafactory in the UK, backed by former Britishvolt shareholders and a Chinese supplier. This independent site in Coventry aims to become the UK’s only large-scale non-carmaker-backed battery manufacturer, with a capacity of 10GWh and the potential to create over 1,000 jobs by 2030.
Tesla is making strides towards launching a Robotaxi service, as the US carmaker has applied for a permit in California for driverless testing or operations. Meanwhile, Mercedes-Benz has started road testing solid-state batteries, claiming the technology offers improved safety, weight reduction, and efficiency for electric vehicles.
On the international trade front, the EU is seeking to lower India’s high tariffs on products like cars to boost trade relations between the two regions and reduce reliance on China. The bloc aims to open up the Indian market to European industries, including automotive manufacturers.
As the automotive industry continues to evolve, these developments demonstrate the sector’s ongoing efforts to adapt to changing market conditions and technological advancements. Stay tuned for more updates on the latest news and trends in the automotive world.
