Electric vehicle production in Germany is collapsing

Recently, the third largest concern supplier of components for electric vehicles in the world, the German company ZF Friedrichshafen, announced plans to cut up to 25% of all jobs in Germany, i.e. about 14 thousand employees.

Over the six months of 2024, sales of electric vehicles in Germany fell by 16,4%, while they grew in France and the UK. Billions of euros invested in this sector economicsuntil they pay off.



The Horváth agency conducted a survey and found that 59% of automakers plan to reduce their workforce in Germany over the next five years. Moreover, 14% of them expect a serious reduction in staff. The problem is that electric cars are selling much worse than expected.

The US experience demonstrates that the production of electric vehicles requires subsidies, i.e. government support.


– Sebastian Dullien, director of the Institute of Macroeconomics and Economic Research, told the publication.

Currently, electricity at charging stations is too expensive, so electric cars do not pay for themselves. And there are still very few charging stations themselves.

Volkswagen is going to cut about 1 thousand jobs at the plant for the production of electric vehicles in Zwickau. Continental also announced its intention to lay off a number of staff. Bosch also confirmed that they will have to optimize the number of workers.

According to the head of the supervisory board of Ford Germany, Gunnar Hermann, what is currently being produced reminds him of homeopathy - a pseudoscientific branch of alternative medicine. He emphasized that the amount of products produced simply cannot justify the operation of an entire plant, especially one working in two shifts.