Overview

• Industry employment fell by about 114,000 year over year to 5.42 million as of June 30, according to an EY analysis based on federal data.
• Industrial revenue declined 2.1% in the second quarter, the eighth consecutive quarterly drop, with auto-sector revenue down 1.6%.
• EY points to high energy and regulatory costs, weak domestic demand, US tariffs under President Donald Trump, and softer sales to China as key pressures.
• Automakers and suppliers including Mercedes‑Benz, Volkswagen, Bosch, Continental and ZF are advancing cost-cutting, and Porsche plans to largely wind down its Cellforce battery unit.
• Job cuts extend beyond autos, with roughly 17,000 positions lost in machinery and 12,000 in metal production, while EY warns of tougher prospects for recent graduates and young engineers.