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Volvo Cars announces 2,500 job cuts as it swings to quarterly loss
The automaker said weak demand in China and the United States and a slow EX60 ramp-up drove a 23% revenue drop and a wider quarterly loss.
- On Friday, October 23, 2026, Volvo Cars announced 2,500 job reductions representing around 6% of its global workforce while reporting an adjusted operating loss of 3.7 billion Swedish crowns for the third quarter.
- Weak demand in China, where deliveries fell more than 40% in the third quarter, and the United States hit sales while slow production ramp-up of the EX60 electric SUV compounded losses.
- Mirroring cost-cutting moves by Volkswagen and BMW, Volvo plans to save 5 billion kronor through these measures, building on earlier restructuring with around 3,000 job cuts as the automaker reported a 5.6 billion kronor operating loss.
- CEO Hakan Samuelsson stated the turnaround plan requires "decisive reinforcement," with plans to introduce seven new vehicles for Western markets before handing leadership to Klaus Zellmer by October 1, 2027.
- Volvo Cars' share price hit a record low this week, down 54% year-to-date, after the company scrapped full-year guidance, though Samuelsson maintains the relationship with Zhejiang Geely Holding remains a "huge advantage.
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The fall in sales in China and the US trade pressure force the brand to take new measures
·Los Angeles, United States
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Volvo says SC plant 'more important than ever' amid latest crisis
Volvo Cars reported a bigger-than-expected operating loss late last week, namely tied to a steep sales decline within the hypercompetitive China car market. It also plans to eliminate another 2,500 jobs, mostly in Sweden.
·Charleston, United States
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Volvo is one of the proponents of the Brussels burn-out and wanted to sell only electric cars as early as 2030. The Group had to take back its own electric promise long ago. Now the car manufacturer reports an operating loss of EUR 504 million and announces a further 2,500 job cuts. Together with the cuts announced already in 2025, there are around 5,500 jobs on the strike list.
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Total News Sources242
Leaning Left17Leaning Right39Center28Last UpdatedBias Distribution47% Right
Bias Distribution
- 47% of the sources lean Right
47% Right
L 20%
C 33%
R 47%
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