Major car suppliers in Germany say they are struggling with the high upfront costs of shifting to EVs and “slow demand,” with companies looking to lay off thousands of workers, as much as 20% of total staff in some cases, in the coming years.
Bosch, the world’s largest automotive supplier for Ford, GM, Toyota, VW, and BMW, among others, said last week that as many as 1,200 employers in its software and electronics division would be fired by the end of 2026, and that 80% of those cuts would take place at the Stuttgart-based headquarters in Germany. Back in 2022, the company said it would spend €2 billion in retraining some of its more than 400,000 staff to be better equipped to work in EV parts production.
ZF Friedrichshafen, which makes transmissions, shock absorption systems, and chassis components for more than 55 auto brands and is Germany’s second-largest supplier after Bosch, said it could axe as many as 12,000 people in a “worst-case scenario” by 2030, reports The Financial Times. The company employs 165,000 people around the world. After the annoucement, some 3,000 ZF employees protested the cuts, marching the streets around the company’s headquarters in Friedrichshafen, Germany.
German car parts manufacturer Continental also said last November that it too was cutting thousands of jobs worldwideas part of a plan to save €400 million ($428 million) a year from 2025.
High inflation, increased raw materials, and soaring energy costs are all part of the reasons the companies are offering for the cuts, the FT reports. ZF adds that jobs will be inevitably lost because EV components require half the labor to produce compared to ICE vehicles. Automotive suppliers, too, have made hefty investments in the shift to electric, and now they are seeing their markets being hit due to slower uptake than expected and the fact that car sales are “historically low,” reports the FT. ZF reported a net debt of €11.5bn at the end of last June, which led to around 800 jobs being axed.
Last month, Volkswagen said it would cut thousands of jobs in Germany in an effort to slash $11 billion in costs. Volkswagen’s Zwickau site, which employs 10,000 and is the first to exclusively produce electric cars, has been shaving off jobs due to weakening production demands, starting with 500 temporary jobs being cut next year. At VW software subsidiary Cariad, 2,000 of 6,5000 people employed there will lose their jobs over the next two years.
Electrek’s Take
The German stalwarts – BMW, Volkswagen, and Mercedes, and the European-based suppliers for their vehicles – are in a tight position, struggling to adapt to EVs and keep up with the pace of innovation as Tesla takes over, and China moves in. More bad news too in that sweeping job losses leads to political instability, in that German unions are a crucial part of the political process. But for German automakers, there is still time to turn it around. BMW says it is now investing $711 million (€650 million) to convert its main factory in Munich to exclusively produce electric vehicles by the end of 2027, in hopes of pushing its next-gen Neue Klasse EVs forward. And speaking of unions, both Bosch and ZF will face lengthy negotiations with union representatives, which is required under German law, to sort out the details of the layoffs and restructuring plans.
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Spring is here, and that means it’s pool season prep time! There’s no better way to kickstart your spring cleaning than with the Beatbot AquaSense 2 Series—the ultimate robotic cleaner designed to effortlessly prepare your pool for sunny days ahead.
Beatbot is inviting pool owners everywhere to “Spring Forward, Clean to Perfection” with up to20% off the AquaSense 2 Series – Ultra, Pro, and Standard. The limited-time offer is available from March 17 through March 31 on Beatbot’s official website and Amazon store. Read on to find out how Beatbot can keep your pool in prime condition, and don’t miss out on this fantastic discount.
Beatbot AquaSense 2 Ultra
Headlining Beatbot AquaSense 2 Series is the premium AquaSense 2 Ultra, a pool-cleaning powerhouse that sets a new standard in smart cleaning technology. It’s packed with cutting-edge features designed to make your pool maintenance not only easier but smarter and more thorough than ever before.
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The Beatbot AquaSense 2 delivers powerful, reliable cleaning performance, combining advanced technology with user-friendly convenience. Equipped with a robust 200W brushless main pump motor, this 3-in-1 robotic cleaner effortlessly tackles floors, walls, and waterlines, providing full coverage with optimized path navigation and impressive 5500 GPH suction power.
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Toyota is now a battery supplier? That’s the plan. Honda will use Toyota’s batteries to power up its around 400,000 hybrids sold in the US.
Toyota will supply batteries for Honda hybrids in the US
Toyota’s $14 billion battery plant in North Carolina is ready for business. The facility will begin shipping out batteries next month, and it looks like Toyota already has its first customer.
According to a new Nikkei report, starting in fiscal 2025, Toyota will supply batteries for the roughly 400,000 Honda hybrids sold in the US.
Honda currently uses batteries from China and Japan for vehicles sold in the US, but the company is (like most) preparing for changes under Trump.
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Honda’s electrified vehicles, including EVs and hybrids, accounted for over a quarter of US sales last year. The company sold over 308,500 hybrids and 40,400 electric vehicles in the US in 2024. The batteries will likely be used in the CR-V and other Honda hybrid vehicles.
Honda Prologue Elite (Source: Honda)
Earlier this month, an extra 10% tariff on imports from China took effect. And that’s on top of the 10% imposed in February.
With more expected, including a 25% increase in vehicles imported from Japan, automakers are tightening up their supply chains.
Toyota’s new bZ4X AWD model introduced in Europe (Source: Toyota)
A 25% tariff on Japanese vehicles, up from 2.5% currently, is estimated to cost the six major Japanese automakers about $20 billion in the US.
Tariffs on imports from Mexico and Canada could cost Honda roughly $4.7 billion alone. Teaming up with Toyota to use its batteries for its hybrids is part of Japan’s broader global plans to ween off dependence on China and others for batteries and other emerging tech.
(Source: Toyota)
The new US plant, Toyota Battery Manufacturing North Carolina (TBMC), is over seven million square feet, or about the size of 121 football fields.
As Toyota’s first in-house battery factory outside of Japan, the plant could be a game changer as Trump’s tariffs take effect. Securing Honda as a buyer will already help Toyota cut costs as it ramps up output.
Toyota plans to ramp up electrified vehicle (EV, PHEV, and hybrid) sales in North America from around 40% last year to 80% by 2030.
Electrek’s Take
Trump’s tariffs are already causing havoc, with nearly every automaker warning that they put the US further behind. Overseas automakers are not the only ones feeling the heat, either.
The “Big Three,” GM, Ford, and Jeep maker Stellantis all build vehicles in Canada and Mexico. GM cut output at its plant in Mexico in January, where the electric Chevy Equinox, Blazer, and Honda Prologue are made. Stellantis halted operations at its Brampton Assembly Plant in Canada last month, where it was expected to launch the Jeep Compass EV production. What’s next?
For Toyota, it looks like its $14 billion bet to build batteries in the US is already paying off. Now, we just need it to introduce more EVs.
After unveiling three new electric SUVs in Europe last week, including the updated bZ4X, Toyota hinted more is on the way for the US. Check back soon for updates.
What do you think? Do you want to see more Toyota EVs in the US, like the new C-HR+? Let us know your thoughts in the comments.
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U.S. President Donald Trump looks on as military strikes are launched against Yemen’s Iran-aligned Houthis over the group’s attacks against Red Sea shipping, at an unspecified location in this handout image released March 15, 2025.
White House | Via Reuters
Oil prices rose on Monday after President Donald Trump said the U.S. would hold Iran responsible for any future attack by the Houthis, a militant group in Yemen that has launched missile strikes on commercial shipping in the Red Sea and on Israel.
U.S. crude oil futures rose 40 cents, or 0.6%, to $67.58 per barrel. Global benchmark Brent traded higher by 44 cents, or 0.62%, at $71.02 per barrel.
“Every shot fired by the Houthis will be looked upon, from this point forward, as being a shot fired from the weapons and leadership of IRAN,” Trump said in a post on social media platform Truth Social. “IRAN will be held responsible, and suffer the consequences, and those consequences will be dire!”
Trump’s threat comes after the U.S. launched a new wave of airstrikes against the Houthis over the weekend. Defense Secretary Pete Hegseth said Sunday the U.S. campaign will continue until the militant group halts its attacks.
“This campaign is about freedom of navigation and restoring deterrence,” Hegseth told Fox News’ “Sunday Morning Futures.” “The minute the Houthis say we’ll stop shooting at your ships, we’ll stop shooting at your drones, this campaign will end. But until then, it will be unrelenting.”
The Houthis began targeting commercial shipping traversing the Red Sea in late 2023 in support of Hamas, after the Palestinian militant group launched a surprise attack on southern Israel and Israel responded with a ground and air campaign in Gaza. The Houthis and Hamas are both allied with Iran.
The Houthi missile strikes have forced international shipping companies to reroute container ships that would normally pass through the Red Sea and the Suez Canal.
Trump has reimposed a “maximum pressure” campaign against Iran with the goal of driving down the Islamic Republic’s oil exports. Treasury Secretary Scott Bessent recently said the Trump administration’s goal is to collapse Iran’s economy.
The White House believes Iran is pursuing a nuclear weapon, an allegation the Islamic Republic denies. Trump’s national security advisor, Mike Waltz, said Sunday that “all options are on the table” to ensure Iran does not acquire a nuclear bomb.
“We cannot have a situation that would result in an arms race across the Middle East in terms of nuclear proliferation,” Waltz said on ABC’s “This Week.”