In this week’s automotive news: Volkswagen plans 50,000 job cuts in Germany, while Honda scales back its EV plans, taking a US$15.7 billion hit. In Mexico, Volkswagen Mexico advances sustainability initiatives, Kia México increases female workforce participation, and the Automotive Cluster of San Luis Potosí announces new leadership.

Gentlemen, start your engines!

Volkswagen Plans 50,000 Job Cuts in Germany by 2030

Volkswagen announced plans to eliminate about 50,000 jobs in Germany by 2030 as the company restructures operations amid growing competition from Chinese automakers, slower demand in Europe and new tariffs in the United States. The job reductions were confirmed by CEO Oliver Blume in a letter to shareholders released alongside the company’s annual financial results.

Honda Cuts EV Plans, Takes Up to US$15.7 Billion Hit

Honda announced it will cancel the development and launch of three electric vehicle models planned for production in North America and record up to ¥2.5 trillion ( US$15.7 billion) in charges tied to a broader restructuring of its electrification strategy. The move comes as the company reassesses its investment plans amid slower-than-expected demand for battery-electric vehicles in the United States and rising competitive pressure in China.

SLP Auto Cluster Appoints Lear’s Rosales as President

The Automotive Cluster of San Luis PotosI has appointed Alberto Rosales, an executive at Lear Corporation, as president of its Board of Directors for the 2026–2028 term, marking a leadership transition aimed at maintaining the organization’s strategy to strengthen the regional automotive ecosystem and support industry competitiveness in Mexico’s Bajio region.

VW Mexico Expands Renewables Use, Cuts CO₂ 83% Since 2010

Volkswagen Mexico announced its 2025 sustainability results, reporting progress in energy transition, emissions reduction and ESG integration, aligned with the Volkswagen Group’s global goTOzero and regenerate+ strategies.

Kia México Women Workforce Reaches 30%, Above Industry

Kia México reported that women now represent about 30% of its workforce, exceeding the global automotive industry average of roughly 24%, according to company information outlining recent developments in its diversity and talent initiatives. The company, which employs more than 2,500 people in Mexico, said the increase reflects a long-term effort to expand opportunities for women across operational, technical and leadership roles.