Europe's largest carmaker Volkswagen said on Thursday it had made a €5.8 billion loss in the third quarter, as it struggles with intense Chinese competition.
German carmaker Volkswagen reported a loss of €5.8bn ($6.5bn) in the third quarter on Thursday, compared with a loss of €1.1bn in the same period last year, as it struggles with intense competition from China.
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Sales fell 6.3% in the quarter to €75.3bn, Volkswagen said.
Like its peers, Volkswagen has struggled with the costs of transitioning to electric vehicles, falling demand and fierce competition in China, the world's largest car market.
The 10-brand group, which includes Audi, Seat and Skoda, warned last month of a €10bn hit to its annual profit, driven mainly by the value of its stake in Porsche, which is also struggling in China.
Volkswagen plans to cut 120,000 jobs across the group by 2030 to reduce costs. The company revealed on Thursday that the restructuring would cost it €31bn.
"What matters now is swift and consistent implementation," the company's chief financial officer, Arno Antlitz, said in a statement. "We cannot lose any time and need to act quickly and decisively."
