Porsche to cut 9,000 jobs by 2035

German luxury carmaker Porsche AG, a subsidiary of Volkswagen, announced on July 27, 2026, that it will cut approximately 9,000 jobs by 2035, representing about one-fifth of its workforce. The cuts include 5,000 additional positions beyond previously announced reductions of 3,900 in February 2025 and 500 linked to subsidiary closures. The restructuring is driven by a sharp decline in sales in China, where locally produced electric vehicles dominate, and a stalled EV transition. The agreement with labor representatives avoids compulsory redundancies through natural attrition, voluntary schemes, and partial retirement. Porsche also committed €2.1 billion in investments in its Stuttgart-Zuffenhausen factory and Weissach R&D center, with site guarantees until 2035. Other German automakers, including Mercedes-Benz and BMW, are undertaking similar cost-cutting measures. Volkswagen CEO Oliver Blume is pushing for 100,000 job cuts across the group and warned of potential factory closures after 2030.