Continental to Cut Around 1,500 Jobs

Automotive parts manufacturer Continental AG plans to cut up to 1,500 jobs in its ContiTech division, which produces rubber and plastic components for the automotive industry and other sectors, according to sources cited by Reuters.

The move follows Continental’s disclosure of plans to reduce ContiTech’s annual expenses by €150 million. Job cuts will primarily affect staff in Hanover. In addition to layoffs, the company plans to implement what it calls an “adaptation of production processes” next year.

Continental cites a worsening economic environment, rising competition from Chinese manufacturers, high costs, and trade tensions as the main reasons for the cutbacks. The company, which had roughly 95,000 employees at the end of 2024, has been announcing job reductions nearly every month.

Overall, Continental is focusing on its core profit driver: the tire business. In September, the company completed the spin-off of its Aumovio division, which makes brakes, safety systems, automotive software, displays, and electronics. As for the current ContiTech layoffs, the German automaker intends to eventually sell the division.