Volvo to cut 2,500 jobs as sales fall sharply

Summarised from 2 outlets · Updated 23 Oct, 13:58 · Archive

Swedish car manufacturer Volvo is cutting 2,500 jobs after sales fell 11 per cent in the third quarter.

Swedish car manufacturer Volvo is cutting 2,500 jobs following poor third-quarter results. Retail sales fell 11 per cent to 141,300 cars between July and September, whilst revenues dropped 23 per cent to SEK 66.9 billion (£5 billion), blamed on lower wholesale volumes, adverse sales mix and pricing.

The job cuts form part of a 'reinforced turnaround'. Around 2,000 of the 2,500 positions will be based in Sweden, with the company adapting its blue-collar workforce to current volumes. Volvo is aiming to save SEK 5 billion (£376 million) by lowering corporate overheads, ending consultant contracts and offering targeted exit packages to employees.

The manufacturer faces intense competition from Chinese car brands. Volvo has already explored producing Geely-badged vehicles at plants in Chengdu and Ghent, and will concentrate production on five dedicated Volvo plants worldwide.

How it is being reported

• Volvo Cars in share price crash as 2,500 job cuts follow sales slumpVolvo Cars has revealed a further 2,500 job cuts amid a slump in sales that has seen its share price crash to record lows.Sky News Business · 23 Oct, 11:40
• Volvo to slash 2,500 jobs amid intense pressure from Chinese brands and Trump's auto tariffsSwedish manufacturer Volvo has confirmed that it plans to cut 2,500 jobs in response to strong competition from Chinese car brands. In its interim report for the third quarter of 2026, Volvo announced that its retail sales had decreased by 11 per cent to 141,300 cars. Between July and September, revenues fell by 23 per cent to SEK 66.9 billion (£5billion), as a result of lower wholesale volumes and adverse sales mix and pricing. In response to the disappointing Q3 results, Volvo will oversee a "reinforced turnaround", which will include the structural reduction of 2,500 jobs. TRENDING…GB News · 23 Oct, 10:10

In this story: Volvo · Sweden · Geely · Chengdu · Ghent

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