BMW to cut up to 7,700 jobs as China market pressures profits

BMW is considering a reduction of about 5% of its global workforce – roughly 7,700 positions – primarily through natural attrition rather than outright layoffs. The move reflects weaker demand in China, higher production costs and intensified competition from Chinese manufacturers in electric and software‑focused vehicles. The company also faces the need to invest heavily in electrification, AI and new digital platforms.

A recent profit warning sent BMW shares to their lowest level since November 2020. Board chairman Nicolas Peter told reporters the firm remains "on the right track" and highlighted strong demand for its new "Neue Klasse" model family. He affirmed confidence in the North American market, while noting that sales in Europe are softer than production. Analysts expect possible capacity cuts in Europe and a faster shift of production to the United States and China as part of the strategic response.

Both articles underscore the twin pressures of a softer Chinese market and rising costs, prompting BMW to tighten its cost structure while betting on its next‑generation models to sustain growth.