Volkswagen announced Tuesday it will cut approximately 50,000 jobs in Germany by 2030. This comes as the automaker's profit slid to its lowest level since 2016.
The German auto giant previously agreed with unions to eliminate 35,000 positions by 2030. The additional cuts will impact premium brands Audi and Porsche, as well as the software subsidiary Cariad.
Volkswagen faces mounting challenges including stagnant demand in Europe, high investment costs for electric vehicles, and declining sales in China amid intense competition from local rivals like BYD and Geely.
Earnings after tax fell nearly 44 percent last year, totaling 6.9 billion euros (US$8 billion). The company's finance chief cited the need for further cost-cutting to improve competitiveness.