Written by Cláudio Afonso | LinkedIn | X
German carmaker Audi announced Monday it will reduce “up to 7,500 jobs” by 2029 after an agreement with the works council. The company saw its sales fall 12% in 2024 to nearly 1.7 million units while EV sales dropped 8% to about 164,000 vehicles.
The automaker said the job cuts come amid “a clear focus in the portfolio and a reduction of bureaucracy” while citing “increasingly tougher” economic conditions, “competitive pressure and political uncertainties.”
“To ensure the German plants remain competitive in the future, the agreement for the future provides measures for a significant increase in productivity, speed and flexibility,” the company said in a statement.
The German brand delivered 1.67 million units last year, a drop of 12% when compared to 2023. When reporting the figures, Audi attributed its weaker performance to the impact of “geopolitical and industrial conditions.”
“To this end, management and the works council have also agreed on a socially responsible reduction by up to 7,500 jobs in indirect areas by 2029, based on target scenarios,” Audi added.
The Volkswagen-owned brand’s fully electric models saw an 8% drop in global deliveries to approximately 164,000 units. The company added that its updated product portfolio is only beginning to impact global sales volumes.
In its home market, sales fell 21%, while in China— which Audi called an “intensely competitive market” — deliveries dropped 11% to more than 649,000 vehicles.
Audi was surpassed by Tesla in global vehicle sales in 2024, the first time the Elon Musk-led company outsold the German luxury automaker.
Tesla’s fourth-quarter deliveries reached a record 495,570 vehicles, helping to cement its lead over Audi despite the slight annual decline. For this year, Tesla expects vehicle deliveries to grow, without disclosing a more precise target.
