Searching ways to combat China | Arkansas Democrat Gazette

Volkswagen’s search for ways to combat China is intensifying as CEO Oliver Blume calls for deeper cost cuts to stay competitive. Speaking in Berlin after a mixed quarterly earnings report, Blume said Chinese brands are increasingly targeting the German automaker’s home market, noting more than 150 competitors in China expanding to Europe. He proposed doubling previously agreed job cuts to 100,000 and warned that four German plants could be closed after 2030. The company’s full restructuring plan was not pushed through at an earlier supervisory board meeting, setting up further negotiations with unions after talks late in 2024 that agreed the first 50,000 cuts. Financially, operating profit fell 9.5% to $3.98 billion in April-to-June, while revenue was about $93.8 billion and the operating margin held within the 4.0%–5.5% target range, at 4.2% in the second quarter. Volkswagen maintained profit guidance but expects revenue to decline by up to 3% in 2026, with shares dropping as much as 3.2% post-results.