German auto parts supplier Continental to cut 5,000 jobs as combustion engine demand falls

Continental will reduce its engine manufacturing activities as more stringent emissions rules threaten demand for combustion engine components, resulting in around 5,040 job losses by 2028.

The program aims to strengthen the company’s competitiveness in the long term and to ensure its viability in the future, Continental said in a news release on Wednesday.

The Germany supplier has suffered from a global downturn in demand for passenger cars and a shift away from gasoline and diesel toward battery-powered vehicles.

Continental said around 520 jobs will be lost when a site in Roding, Germany, which makes hydraulic components for gasoline and diesel engines, is closed down in 2024.