Schaeffler Cuts 3,460 Jobs and Closes Five European Sites
Schaeffler is cutting 3,460 jobs and closing five European sites to pivot toward robotics and defense amid a downturn in the automotive industry.
Car parts manufacturer Schaeffler announced the cut of 3,460 jobs and the closure of five European sites to combat economic headwinds and intensifying competition from Chinese manufacturers. Approximately 2,660 of the job cuts and four of the site closures will occur in Germany, specifically affecting plants in Dortmund, Morbach, Berlin, and Schwalbach, while a site in Belgium will also be shuttered. The company is responding to weakened demand for internal combustion engine components and a slower-than-expected transition to electric vehicles.
CEO Klaus Rosenfeld stated the company is pivoting toward future-oriented fields including robotics, AI, and defense to restore competitiveness. This strategic shift follows the establishment of a defense subsidiary at the end of 2025. Schaeffler expects these measures to generate annual earnings boosts of roughly 300 million euros by 2030.
The move mirrors a broader crisis in the German automotive sector. Other major industry players, including Volkswagen and Bosch, are also implementing massive workforce reductions due to high domestic production costs and the rise of Chinese electric vehicle brands.
