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Volkswagen Targets 20% Group-Wide Cost Cut by 2028

The company will outline next steps on March 10 following an internal January briefing that set a tougher efficiency push.

Overview

  • CEO Oliver Blume and CFO Arno Antlitz presented the plan to about 120 senior executives in Berlin in mid-January, according to Manager Magazin.
  • The ambition reportedly totals roughly €60 billion in savings and covers material, development, sales and administrative costs across all brands.
  • Manager Magazin reported that factory closures and further job cuts are under review, while the works council cites a 2024 pact that rules out plant closures and layoffs for operational reasons.
  • Volkswagen is already progressing with more than 35,000 job reductions in Germany by 2030, and the core brand aims to save €1 billion by cutting management roles and consolidating production platforms.
  • A spokesperson said a three-year efficiency program has delivered savings in the double-digit billions as the group faces weaker demand in China, US tariffs and high software and dual-drivetrain spending, with more detail expected at the March 10 results briefing.