BMW to Cut Up to 8,000 Jobs Amid Pressure on German Automotive Giant

The process has been coordinated with the employee council and will pertain to development departments and administrative units, while there will be no cuts in production facilities. BMW's total workforce is around 160,000.

The company has justified this move by the need to adapt to significant changes in the automotive sector. Key reasons include technological transformations, geopolitical instability, fluctuations in market conditions, and increasing competition in the Chinese market.

Recently, European automakers have been facing growing pressure from Chinese companies that have taken leading positions in the electric vehicle sector and started a price war in China's domestic market. Additional challenges arise from the investments necessary to transition to electric vehicle production and the tariffs imposed by the United States.

BMW is not the only German automotive concern undertaking large-scale optimization. Earlier, Volkswagen announced plans to cut up to 100,000 jobs, close four factories, and reduce its model range.

Meanwhile, Porsche is undergoing a restructuring, in which it plans to lay off 9,000 employees by 2035, which constitutes about one-fifth of the company's workforce. Despite an increase in profits, Porsche's sales volume in China decreased by 30% in the first half of 2026.

British sports car manufacturer Aston Martin is also facing challenges, reporting an increase in losses in the first half of 2026, despite an increase in revenue and improvements in sales volumes.