Ford, facing economic headwinds and weak EV sales, to cut 4,000 jobs in Europe

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Ford, facing economic headwinds and weak EV sales, to cut 4,000 jobs in Europe

2024-11-20 23:53 Last Updated At：11-21 00:00

FRANKFURT, Germany (AP) — Ford Motor Co. says it will reduce its workforce by 4,000 in Europe and the U.K. by the end of 2027, citing headwinds from the economy and pressure from increased competition and weaker than expected sales of electric cars.

Ford said Wednesday most of the job cuts would come in Germany and would be carried out in consultation with employee representatives.

Of the total, 2,900 jobs would be lost in Germany, 800 in Britain and 300 in other European Union countries. Ford has 28,000 employees in Europe, and 174,000 worldwide.

“The global auto industry continues to be in a period of significant disruption as it shifts to electrified mobility,” the company said in a statement. “The transformation is particularly intense in Europe where automakers face significant competitive and economic headwinds while also tackling a misalignment between CO2 regulations and consumer demand for electrified vehicles,” the statement said.

In Europe, automakers must sell enough electric vehicles to meet new, lower limits for fleet average carbon dioxide emissions in 2025, and face a longer term 2035 EU goal of reducing emissions to zero, which would mean the elimination of most vehicles with internal combustion engines.

EV sales however have lagged as consumers weary of inflation have held back on spending and after major car market Germany dropped government purchase incentives for EVs. Electric vehicles sales fell by 5.8% in the first nine months of the year in an overall shrinking market for cars. Carmakers are also facing increasing competition from Chinese-made electric vehicles.

The company said that it would also reduce working time for workers at its Cologne, Germany plant where it makes the Capri and Explorer electric vehicles.

Ford sales fell 15.3% in the first nine months of the year compared to the same period last year, according to the European Automobile Manufacturers' Association. The company's market share shrank to 3% from 3.5% The Dearborn, Michigan, headquartered automaker saw company-wide net profit fall by 26% to $892 million in the third quarter as it took $1 billion in accounting charges to write down assets for a canceled three-row electric SUV. The company cited higher warranty and other costs.

Ford is an established brand in Europe and will mark its 100th anniversary of doing business in Germany next year. Its main plant in Cologne started production in 1931; the groundbreaking was attended by Henry Ford and then-Mayor Konrad Adenauer, later Germany’s chancellor.

Ford is not alone in suffering from headwinds. Volkswagen has said it is contemplating closing as many as three of its German plants, according to its chief employee representative. European Automobile Manufacturers’ Association has called for a speedier review of lower C02 limits slated for 2026.

Ford said company vice chairman and CFO John Lawler had written a letter to the German government reiterating Ford's commitment to climate goals but urging action to improve market conditions and ensuring the industry’s future success.

"What we lack in Europe and Germany is an unmistakable, clear policy agenda to advance e-mobility, such as public investments in charging infrastructure, meaningful incentives to help consumers make the shift to electrified vehicles, improving cost competitiveness for manufacturers, and greater flexibility in meeting CO2 compliance targets,” Lawler said.

Middle East latest: Israel insists on right to act against Hezbollah in any deal to end fighting

2024-11-20 23:43 Last Updated At：23:50

Israel’s defense minister says his country insists on the right to act militarily against Hezbollah in any agreement to end the fighting in Lebanon.

Lebanon’s government is likely to view any such demand as an infringement on its sovereignty, complicating efforts to end more than a year of fighting between Israel and Hezbollah that erupted into all-out war in September.

Defense Minister Israel Katz said in a statement Wednesday that “the condition for any political settlement in Lebanon is the preservation of the intelligence capability and the preservation of the (Israeli military’s) right to act and protect the citizens of Israel from Hezbollah.”

Lebanese officials mediating between Israel and Hezbollah have called for a return to United Nations Security Council Resolution 1701, which ended the 2006 war between the sides.

It calls for Hezbollah militants and Israeli forces to withdraw from a buffer zone in southern Lebanon patrolled by U.N. peacekeepers and Lebanese troops.

U.S. envoy Amos Hochstein, who has spent months trying to broker a cease-fire, held a second round of talks on Wednesday with Lebanon’s parliament speaker, Nabih Berri, an ally of Hezbollah who has been mediating on their behalf.

Hochstein told reporters the talks had made “additional progress,” and that he would be heading to Israel “to try to bring this to a close, if we can.” He declined to say what the sticking points are.

Israeli strikes and combat in Lebanon have killed more than 3,500 people and wounded 15,000, according to the Lebanese Health Ministry. The war has displaced nearly 1.2 million people, or a quarter of Lebanon’s population.

On the Israeli side, 87 soldiers and 50 civilians, including some foreign farmworkers, have been killed by attacks involving rockets, drones and missiles. Hezbollah began firing on Israel the day after Hamas' Oct. 7, 2023 attack triggered the war in Gaza.

That attack killed some 1,200 people in Israel, mostly civilians, and another 250 were abducted. Around 100 hostages remain inside Gaza, at least a third of whom are believed to be dead. Israel's retaliatory offensive has killed nearly 44,000 Palestinians, according to local health authorities.

Here’s the Latest:

DAMASCUS — An Israeli airstrike on the Syrian town of Palmyra, known for the historic Roman temple complex nearby, killed 36 people and wounded more than 50 Wednesday, Syrian state-run media said.

The SANA news agency said the strikes also led to “significant material damage to the targeted buildings and the surrounding area.”

The Israeli military declined to comment on the reported strike in Syria. Israel frequently targets military sites and facilities associated with Iran-linked groups in Syria but rarely acknowledges the strikes. The death toll from Wednesday’s strike was unusually high.

It was not immediately clear if the ruins were damaged. The temple complex already suffered significant damage years ago during the Islamic State group’s rampage across Syria. In 2015, the world watched in horror as the militants blew up an iconic arch and temple in Palmyra.

Since IS lost its hold on the area, restoration work on the site has been held up by security issues, leftover IS landmines and lack of funding.

The strike in Syria comes as negotiations are underway for a potential cease-fire between Israel and the Hezbollah militant group in Lebanon, but it is unclear if the ceasefire would include Syria.

JERUSALEM — The Israeli parliament has passed a bill stripping some insurance benefits from families of minors convicted of security offenses.

A rights group denounced the legislation as a form of collective punishment of Palestinians.

The bill, which passed 29-8 late Monday, bans direct family members of minors convicted of security offenses from receiving a child allowance, study grants, or other welfare benefits under Israel’s National Insurance program while the minor is imprisoned.

It was passed to “cause parents to supervise their children and make sure that they do not engage in terrorist activity,” according to a press release on the website of the Knesset, Israel’s parliament.

Legal group Adalah, which called on Israel’s attorney general to withdraw the law, said the true aim of the legislation was “to impose punitive measures under the pretext of counterterrorism by denying welfare benefits.”

Adalah said that because the legislation only applies to those convicted of security offenses, who are overwhelmingly Palestinian, it “creates a distinction on the basis of nationality.”

It’s the latest in a series of measures passed by the Knesset that have been denounced by rights groups as draconian.

A law passed earlier this month would allow Israel to deport family members of Palestinian attackers to Gaza or other locations. In late October, the Knesset passed two laws banning UNRWA, the UN agency for Palestinian refugees, from operating on Israeli soil.

BEIRUT — A Lebanese army soldier was killed Wednesday by an Israeli airstrike that hit his vehicle on the road linking Burj al-Muluk and Qalaa in southern Lebanon, the army said in a statement. The Israeli military said it was looking into reports.

A day earlier, three soldiers were killed by an airstrike that targeted an army post in the town of Sarafand, near the coastal city of Saida.

Wissam Khalifa, a resident of Sarafand who lives next to the army post and was injured in the strike, said he was shocked that it was targeted.

“It’s a safe residential neighborhood. There is nothing here at all” that would present a target, he said. “Regarding the martyred soldiers, I don’t even know if there was a gun in the center. Why did this strike happen? We have no idea.”

The Lebanese army has not been an active participant in the fighting between Israeli forces and the Lebanese militant group Hezbollah over the past 13 months, but more than 40 soldiers have been killed in the conflict.

Altogether, more than 3,500 people have been killed in Lebanon since Oct. 8, 2023, the vast majority of them in the past two months.

AMMAN, Jordan: Israel has allowed an Al Jazeera journalist wounded in an airstrike in Gaza last month to be evacuated to Jordan for medical treatment.

Jordan’s Foreign Ministry said Wednesday that Ali al-Attar had been transferred to the kingdom with his sister in coordination with the World Health Organization. There was no immediate comment from Israel.

Al-Attar was wounded by shrapnel when Israeli forces struck makeshift points used by Hamas-run police outside a hospital in central Gaza early on Oct. 7. There were no police present at the time.

Israel banned Al-Jazeera earlier this year, accusing it of serving as a mouthpiece of Hamas. It has also accused six Al Jazeera journalists in Gaza of being current or former fighters for Hamas and another armed group.

Al Jazeera has denied the allegations and accused Israel of trying to silence critical coverage. The Qatar-based network has reported round-the-clock from Gaza since the start of the war, with its field correspondents focusing on the killing of civilians in Israeli strikes. Several Al Jazeera reporters have themselves been killed or wounded.

Al Jazeera has also regularly broadcast videos released by militant groups in their entirety, including some that show Israeli hostages speaking under duress.