US car manufacturer Ford has said it will lay off 4,000 of its workforce in Europe, becoming the latest automaker to try to cut costs amid weak electric vehicle (EV) sales and competition from China.
The job cuts represent about 14% of Ford’s 28,000 workforce in Europe and around 2.3% of its total workforce of 174,000, and will be completed by the end of 2027. Most layoffs will be in Germany with 2900. Another 800 might take place in Britain.
Germany is de-industrializing, mostly due to poor policies.
The US carmaker will be the latest after Nissan, Stellantis, and GM to resort to the drastic step in a bid to cut costs as the automotive sector faces challenges, including weak EV sales.
Ford announced massive layoffs last year as part of an austerity plan. They don’t need as many workers in EVs and they also aren’t selling EVs as they hoped.
Dave Johnston, Ford’s European vice president for transformation and partnerships, said that it is “critical to take difficult but decisive action to ensure Ford’s future competitiveness in Europe.”
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