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Europe
According to internal documents seen by the Süddeutsche Zeitung (Monday 19 Oct edition), VW is rolling out its board-approved Group Target Picture to international management. The documents include new guidelines for wage bargaining that apply from Q4: a ‘pay freeze until 2030’ through ‘suspension of wage increases’, plus cuts to variable pay, special payments and benefits, and further job reductions. Local conditions in each part of the group would be taken into account, so a freeze may not be imposed everywhere, but all brands, regions and plants are expected to make an ‘appropriate’ contribution to the savings targets. SZ estimates the real income loss for affected staff at about 10% because of inflation. VW said it does not comment on ‘such speculation’ and pointed to the upcoming bargaining round. Context: VW AG terminated ten house agreements effective 31 Dec 2026 (covered 1 Oct). IG Metall is asking for 5% and says strikes are possible from January.
Companies Volkswagen
Source: Süddeutsche Zeitung (19 Oct, paywall) · FOCUS online (19 Oct) · t-online (19 Oct)
Americas
On 16 Oct, Mexico’s Labour Ministry (STPS) and the federal conciliation centre urged VW de México and the SITIAVW union to resume talks after members rejected the 13.16% deal (Reuters). La Jornada de Oriente reports that company and union are summoned to the STPS in Mexico City on Monday 19 Oct. SITIAVW leaders told El Economista that ‘the conditions are not there’ for another extension and that the strike committee is preparing logistics for 22 Oct, 11:00 Mexico time (19:00 CEST), unless VW substantially changes its offer. Secretary general Hugo Tlalpan told La Jornada de Oriente that if VW keeps a closed position, assemblies would let members choose between striking and asking for a sixth extension. He also said Taos production will fall to a single shift around November (the union will propose rotating or technical stoppages to avoid further job losses) and that Golf production starts in July 2027. El Economista notes that 611 technicians were already put on temporary leave, with a company commitment to rehire them in 2027.
Companies Volkswagen
Source: La Jornada de Oriente (18 Oct) · El Economista (18 Oct) · Reuters via El Nuevo Herald (16 Oct)
Europe
Fujikura Automotive România plans to cut 309 positions at its plant in Dej (Cluj county) as part of a capacity reduction. Of these, 45 are indirect production roles, and 16 office (TESA) jobs are also being cut. Dismissals are scheduled to start at the end of October. The company cites a lower revenue outlook for the April 2026–March 2027 financial year, partly because the plant’s main project is reaching the end of its life cycle. This is the second large cut in a year, after about 230 dismissals in 2025. Revenue fell to RON 90.7m in 2025 with a loss of about RON 2m; reported headcount fell from 758 (2024) to 477. Customers include the Volkswagen group. Fujikura also operates in Cluj-Napoca and Sibiu.
Companies Fujikura, Volkswagen
Source: Capital.ro (26 Sep, RO) · AlbaPress (RO)
Europe
Unions CCOO and UGT said on 16 Oct that Mahle has told staff and the works council it will run a new collective-dismissal procedure (ERE) for 170 jobs at Motilla del Palancar (Cuenca). That is about 35% of a workforce of around 500. The Paterna (Valencia) plant is not affected. A year ago, a first ERE ended with 466 dismissals (initially 550 planned). Mahle says the expected recovery in vehicle electrification ‘has not materialised’, demand forecasts remain under pressure, and carmakers keep adjusting production plans, postponing investment decisions and delaying or cancelling planned programmes. According to CCOO, the plant also won no significant new contracts this year. Mahle will now open consultations with worker representatives, and the unions have called for mobilisation.
Companies Mahle
Source: elDiario.es / EFE–Europa Press (16 Oct, ES) · Europa Press (16 Oct, ES)
Africa
Gotion Power Morocco (GPM), a subsidiary of Gotion High-Tech, said it will begin commissioning and starting up the production equipment at its LFP plant in the Kenitra Atlantic Free Zone during the week of 20 Oct. The first phase covers 20 GWh of cells, battery packs and storage systems plus 100,000 t of cathode materials, with an investment of MAD 13bn (about $1.3bn). The first cell line starts in October and a second in November, with sales of assembled batteries planned by year-end. GPM has hired more than 400 people so far and expects more than 2,300 direct jobs at full development. Target markets are Morocco, Africa, Europe, the Middle East and the US. VW’s PowerCo and Gotion have also announced a Kenitra cathode-materials JV (covered 4 Oct).
Companies Gotion, Volkswagen
Source: Morocco World News (12 Oct) · Walaw (EN)
Asia
Under the MoU announced on 14 Oct, the two companies will jointly develop and industrialise steer-by-wire systems. thyssenkrupp contributes steering, system integration and functional-safety expertise. Inovance Automotive contributes electronics, software, actuators and industrialisation capability in China; it has plants in China, Hungary and Thailand, about 9,400 staff and €2.7bn sales (FY2025). The initial focus is China, followed by other markets. The partners may extend the cooperation to other chassis technologies (Inovance also makes rear-wheel steering, active suspension and electromechanical braking). Joint development approaches, the industrialisation model and the long-term structure will be defined in the coming months; no programme, launch date or volumes have been announced.
Source: thyssenkrupp Automotive Technology (14 Oct) · Just Auto (15 Oct)
Americas
Reuters (19 Oct): LME three-month copper rose 0.31% to $14,452.50/t at 03:30 GMT, and SHFE November copper rose 0.41% to ¥109,900. Antofagasta recently sold Centinela concentrate at a treatment charge of −$310/t, and a Los Pelambres tender cleared near −$330/t. Negative charges mean smelters pay miners to process concentrate, a sign of an acute raw-material shortage ahead of the annual 2027 supply-contract talks. Chinese smelting capacity has grown more than 70% in a decade to an estimated 13–14 Mt this year. The Distrito Centinela and Minera Esperanza unions (709 workers, 22% of the mine’s own workforce) approved a new collective contract with 94.49% of votes, ending a ten-day strike; Antofagasta said operations continued during the strike. China’s Q3 GDP grew 4.5% YoY, while SHFE-monitored stocks rose 25.9% week on week to 73,962 t.
Source: Reuters via Boursorama (19 Oct, FR) · BioBioChile (18 Oct, ES)
Asia
On 15 Oct, Commerce Ministry spokesperson He Yadong said China stands ready to keep facilitating the review and approval of rare-earth export licences to Europe. He asked the EU to reciprocate by helping resolve key licence cases for Chinese entities in the dual-use field (Global Times). Asked by CNBC about the upcoming US–China truce deadline, he said China is willing to keep approving licences to Europe; CNBC reports that exports to Europe are set to continue whether or not the US deal is extended. CNBC notes that the one-year suspension of China’s October 2025 controls (including the rule covering products with as little as 0.1% Chinese rare earths) was extended by two months to January, according to US Treasury Secretary Scott Bessent. This builds on the ‘green channel’ agreed at the 8–9 Oct EU–China talks (covered 11 Oct).
Source: CNBC (15 Oct) · Global Times (15 Oct, MOFCOM)
Americas
Bloomberg (16 Oct): the updated, hybrid-only Lexus NX goes into production in December at Toyota’s Cambridge complex, which also builds the RAV4 and Lexus RX. About 85% of output is exported, mostly to the US. Toyota’s Ontario plants built 537,518 vehicles last year. Toyota invested $1.1bn for the latest RAV4 (in production since January) and hundreds of millions more for the NX. The plants run two full shifts plus regular overtime at ‘well over 100%’ of capacity, but Toyota says that pace could change if US tariffs rise; the White House has threatened 50% auto tariffs if no broader deal is reached by 1 Jan. By contrast, GM cut a shift at its truck plant near Toronto and ended output in Ingersoll, Stellantis plans to sell its idled Brampton plant, and Ford’s Oakville plant now builds only heavy-duty trucks.
Companies Toyota, General Motors, Stellantis, Ford
Source: National Post / Bloomberg (16 Oct) · The Plant Floor
Global
At a strategy briefing at its research centre in Sano City on Sunday 18 Oct, Subaru said it will launch SDVs in the second half of this decade and gradually deploy a newly developed integrated ECU across its line-up. The chip at the core of the ECU was co-developed with AMD. The SDVs will get over-the-air updates for driver-assistance, automated-driving and vehicle-performance functions. Subaru will standardise its electronic platforms across electric, hybrid and petrol vehicles and aims to cut development time by about 40% through digital simulation in prototyping and by running design, testing and production preparation in parallel. It has no plans at present to adopt Toyota’s Arene platform, despite Toyota’s 21% stake.
Companies Subaru, Toyota
Source: Reuters via Business Recorder (19 Oct) · Reuters via StreetInsider (19 Oct)
Asia
FAW, Toyota and GAC signed a framework agreement for a new strategic alliance in Guangzhou on 8 Oct. GAC will acquire FAW’s 50% stake in FAW Toyota through a stock issuance, and FAW will become a key strategic shareholder of GAC. FAW Toyota will continue to operate as an independent company. In a later phase, FAW Toyota and GAC Toyota will form an alliance covering R&D, procurement, production and sales. electrive (17 Oct) reports the deal is now confirmed by all parties. Price, closing date and the regulatory timeline have not been disclosed. The two JVs have sold vehicles to more than 23 million customers in China.
Companies Toyota
Source: Toyota Global Newsroom (8 Oct) · electrive (17 Oct)