Ford Motor Co. will cut more than 4,000 jobs across Europe and the United Kingdom by the end of 2027, citing economic headwinds, pressure from increased competition and weaker-than-expected electric vehicle (EV) sales, the company said Wednesday. Announced. ) to a gloomy forecast.
Most of the job cuts will be in Germany and will be carried out in consultation with employee representatives, according to the Associated Press. report.
The company also plans to reduce working hours for employees at its Cologne, Germany, factory, where the Capri and Explorer electric cars are made.
“It's important to take difficult but decisive action to ensure Ford's future competitiveness in Europe,” Dave Johnston, Ford's European vice president of transformation and partnerships, said in a statement. .
“The global automotive industry continues to undergo a period of significant disruption as it transitions to electric mobility,” the company said. The statement continued:
The transformation is particularly intense in Europe, where automakers face significant competitive and economic headwinds while also grappling with the mismatch between CO2 regulations and consumer demand for electric vehicles.
The Associated Press report says European automakers will need to sell enough electric vehicles to meet a new floor for average vehicle carbon dioxide emissions in 2025.
Sales of electric vehicles have been sluggish as inflation-weary consumers cut back on spending and Germany, a major auto market, ended its government incentives to buy electric vehicles.
The European Automobile Manufacturers Association is calling for a faster review of the lower C02 limit, scheduled for 2026.
As Breitbart News reported, electric vehicle sales continue to defy the demands of a combination of environmental lobbyists and government policy, and will account for only a quarter of new purchases in 2023. This is revealed by UK data.
Consumer rejection of EVs poses a challenge to the electric vehicle market and to the government's goal of net-zero carbon emissions by 2050.
Besides consumer concerns about the lack and reliability of charging stations, the unit cost and rapid depreciation of EVs remains the main reason consumers stick with gasoline-powered vehicles.
