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VDA Survey: German Auto Suppliers Plan Layoffs, Shift Investment Abroad

US tariffs worsen an already weak outlook.

Overview

  • Nearly half of the 158 suppliers surveyed between Sept. 1 and Sept. 22 rated their situation as bad or very bad.
  • More than 60% of companies plan to cut jobs in response to sustained pressure on their businesses.
  • About 80% expect to delay, relocate abroad, or cancel investments, with few maintaining or increasing plans.
  • Over half report being moderately or strongly affected by US tariffs on industrial products.
  • Only one in five anticipates improvement in the near term, and the VDA is urging Berlin and Brussels to prioritize competitiveness.