Bosch has announced plans to cut 13,000 jobs in its mobility division in Germany as part of a broader effort to save €2.5 billion. The company, which produces vehicle parts and software, attributed the job cuts to a stagnant market and increased competition from rivals like Tesla and China’s BYD. The company also pointed to rising costs, including those resulting from US tariffs imposed during Donald Trump’s presidency.

Bosch’s mobility division is facing a €2.5 billion cost gap, and the company said it would work to reduce expenses at all levels. Along with job losses, Bosch intends to cut back on investments in its production facilities and buildings, citing a significant drop in demand for its products.

As of December 2024, Bosch employed around 418,000 people worldwide. While the company confirmed that no jobs would be affected in the UK, it stated that it would continue to assess its operations based on customer demand and market conditions.

The job cuts are expected to impact roles in administration, sales, development, and production across several locations in Germany, including Feuerbach, Schwieberdingen, Waiblingen, Bühl, and Homburg. Bosch's decision comes amid a broader decline in the German car industry, as foreign competitors take a larger share of the market.

The company also noted that the tariffs imposed on EU exports to the US have added to the challenges, making it difficult to sustain its current workforce. Bosch plans to start discussions with affected employees immediately.

MF Radio.