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[BUSINESS] · Germany · 26 sources

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BMW announces 8,000 job cuts worldwide amid German auto industry crisis

BMW AG said it will eliminate about 8,000 positions globally, concentrating on administrative and research‑and‑development staff while keeping production roles intact. The move is part of a broader restructuring triggered by weak demand in China, higher production costs, U.S. tariff pressures and a slowdown in the shift to electric vehicles.

The cuts follow a sharp 29 % drop in BMW’s first‑half 2026 net profit and echo similar workforce reductions announced by other German manufacturers. Analysts estimate that up to 150,000 jobs in the German automotive sector could be at risk as the industry, which accounts for roughly 5 % of Germany’s gross value added and 3 % of employment, confronts falling sales, high labour costs (about $3,307 per car versus $597 in China and $305 in Mexico) and intense competition from Chinese EV makers.

Entities

BMW AG · China · Dr. Katharina Schubert · European Union · German auto industry · German automotive industry · German automotive sector · Germany · Mercedes‑Benz Group AG · Milan Nedeljkovic · Oliver Wyman · Porsche AG

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