Volvo Cars to Slash 3,000 Jobs in Cost-Cutting Move, Shifts Focus to Plug-In Hybrids

Volvo Cars, owned by China’s Geely Group, announced plans to cut 3,000 administrative jobs globally, about 15% of its office-based workforce, primarily in Sweden, as part of cost-cutting measures. The decision, led by CEO Hakan Samuelsson, aims to address challenges in the automotive industry and structurally reduce costs. The company targets savings of 18 billion Swedish kronor (approximately US$1.9 billion), with initial costs of 1.5 billion kronor in Q2. Volvo’s focus on battery electric vehicles (BEVs) has been hampered by high battery material costs, and sales have faced a tougher market, worsened by uncertainty over US tariffs. The company plans to shift focus toward plug-in hybrids as BEV sales, which dropped to 19% in Q1 from 21% a year earlier, have stalled.

Volvo cars

Business News

Staff Writer

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