Ford Motor said on Tuesday that it would cut 1,000 jobs at its factory in Cologne, Germany, that produces electric cars amid sluggish demand for battery-powered vehicles in Europe.
The reductions are in addition to 4,000 jobs that Ford said last year it intended to eliminate across Europe by the end of 2027, including at its plants in Germany and Britain, as part of a broader reorganization plan.
Like other automakers in Europe, Ford faces increasing competition from Chinese rivals that are making inroads into the market despite tariffs imposed by the European Union last year. China’s BYD, the world’s largest E.V. maker, has made a strong push into Europe with electric and hybrid vehicles that remain relatively affordable. It plans to open its first European plant in Hungary later this year.
In announcing the job cuts on Tuesday, Ford said that European drivers were not buying as many electric cars as the company projected when it opened its Electric Vehicle Centre in Cologne just two years ago. Ford blamed some of the lag on a lack of investment in charging infrastructure and a scarcity of government incentives.
“As a result, Ford will adjust production at the Cologne plant to a single-shift operation beginning in January 2026,” the company said in a statement. Ford said it would offer buyout packages to employees and hoped that most of the severances would be voluntary.
German automakers are also suffering from the sluggish market for electric vehicles, although BMW, Mercedes and Volkswagen all recently announced battery-powered cars with new technology and software aimed at winning over customers.
European automakers are also struggling against import tariffs imposed by President Trump. The tariff rate, initially 27.5 percent, was reduced to 15 percent after the United States reached a trade deal with the European Union in August, but the lower rate has yet to be applied.
Ford reported in July that it lost $36 million in the second quarter, compared with a profit of $1.8 billion a year earlier. It blamed the reversal on Mr. Trump’s tariffs, saying it expected them to cost the company $2 billion this year.
Melissa Eddy is a Times reporter based in Berlin who reports on Germany’s politics, businesses and economy.
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