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Aumovio SE will cut up to 4,000 jobs in research and development worldwide as the German auto supplier moves to rein in costs amid a “challenging” market environment and intensifying competition.
The reductions, expected to be largely completed by the end of this year, will be implemented in a “socially responsible” manner, including a voluntary redundancy program in Germany starting in March, the company said Jan. 27.
The cuts are the latest to be announced by a German auto supplier. The sector is under pressure from weak demand in Europe and rising competition from Chinese manufacturers.
The move comes after Aumovio was spun off from Continental AG in September and listed in Frankfurt. The company downgraded its sales guidance in November due to weaker demand in some regions, which is piling pressure on suppliers.
READ MORE: Amazon, Aumovio Team Up to Boost Autonomous Truck Deployment
The reductions are part of a broader effort to reduce Aumovio’s R&D spending to less than 10% of revenue by 2027, down from 11.9% as of the third quarter of 2025. CEO Philipp von Hirschheydt said the company is focusing on increasing efficiency and protecting its market position, citing a challenging environment.
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