New blow to the German economy, and especially to the automotive industry, after the massive layoffs announced by Volkswagen. The Bosch industry, a world leader in the manufacture of automotive equipment, announced today Friday that it foresees 5,500 new job cuts internationally, mainly in Germany. These staff reductions will mainly take place by 2030.

“Global vehicle production will stagnate this year at around 93 million units or even decrease slightly compared to the previous year,” the German group explains in a press release.

The European car industry is facing falling demand, delays in the transition to electric vehicles and increasing competition from Chinese manufacturers.

In Europe, “the industry is in competition with providers who, due to the fact that their production takes place in countries where the cost structure is lower, have obvious advantages,” added the German group.

Bosch had already announced global job cuts in recent months, affecting around 7,000 jobs in total, mainly in the automotive industry, where it generates almost two-thirds of its revenue, but also in the BSH tool and electrical appliance manufacturing divisions.

Among the jobs affected by these new announcements, 3,850 are located in Germany, particularly at the Hildesheim (north) and Schwebis Gmünd (south) plants.

All concern the group’s automotive unit, particularly in activities related to the electrification of vehicles, at a time when the European electric car market is growing at a slower pace than predicted. The unit that develops the necessary software for autonomous driving is also affected, as is the sector that makes brakes and steering systems.

The German economy, the pillar of which is the automobile industry, is particularly affected by the difficulties faced by the sector.

Volkswagen is facing an unprecedented crisis and is currently negotiating a broad cost-cutting plan, which could lead to thousands of layoffs or even the closing of factories in Germany.

Strike actions will start from December 1 at the largest car manufacturer in Europe.

US carmaker Ford also announced 4,000 new job cuts in Europe by the end of 2027, notably in Germany.