The German technology group ZF, headquartered in Friedrichshafen, State of Baden-Württemberg, has been in turmoil for many months. In response to high debts and major challenges (increased energy and material costs, costs of the greenie transformation, among others) the automotive supplier is in the midst of a large-scale job reduction program that is expected to result in the loss of up to 14,000 jobs in Germany by 2028. In addition, ZF Friedrichshafen has now confirmed that the central drive business, the E Division, is to be spun off from the group, but not sold. However, this is still stirring up fears at the division’s locations, because the figure of 14,000 job losses may not be the last word in this crisis: 9,000 jobs at the plants in Bavaria, and 8,000 in the city of Saarbrücken are said to be at stake as well. All that may kill 15% or more of the 161,000 jobs which ZF still has.
Bad news also from Audi, a subsidiary of the Volkswagen automotive group. As management informed the media, U.S. tariffs, the costs of (greenie transformation) restructuring the group and weak business in China have caused Audi’s profits to drop by 37.5% in the first half-year of 2025, as compared to the same period last year.
