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VW Cuts Another 50,000 Jobs and Possibly a Brand: TDS

VW's largest-ever restructuring has ballooned to 100,000 job cuts and could result in the end of one of its oldest brands.
Volkswagen office in Germany
Julian Stratenschulte via Getty Images

Hello and welcome to The Downshift, or TDS for short, The Drive’s morning news roundup bringing you the biggest automotive headlines from around the world.

The Downshift recaps news briefly, with links to full stories for those seeking more info. Here’s your bulletin for Friday, September 4, 2026. Happy Labor Day and enjoy the long weekend!

🏭 Volkswagen’s board of supervisors finally approved a plan to restructure the company, to the tune of 50,000 more job cuts. That brings the planned total reduction in headcount to 100,000, of a global workforce of more than 650,000 people. Additionally, rather than close four of its plants, in Emden, Hanover, Neckarsulm, and Zwickau, VW will “seek alternatives” for their continued operation, which could mean sales to other automakers. [Reuters]

👕 Please excuse the self-promo, but we’ve collaborated with our friends at Blipshift to bring back another five of our favorite t-shirt designs. They’re on sale starting today, and will remain up for grabs until Thursday, Sept. 17. Get ’em while you can!

💺 According to a leaked document related to VW’s restructuring plan, the company may retire Seat as a brand in the coming years, while allowing Cupra—the much newer performance-minded spinoff of the Spanish automaker—to live on. [Autoblog]

🔥 BMW has recalled 190,000 older sedans in Germany, spanning 2014 through 2020 model-year 3, 5, and 7 Series vehicles, for starter relays that are not sufficiently protected against moisture, which could lead to corrosion, a short and, naturally, a fire. It’s worth stipulating that this recall has not been picked up by NHTSA here in the States yet, so until then, anyone who believes their vehicle might be impacted should check with their local dealer. [BMW Blog]

📃 The Alliance for ‌Automotive Innovation, a lobbyist coalition of automakers that includes Ford, General Motors, Honda, Hyundai, Stellantis, Toyota, and Volkswagen, sent a letter to Congress urging lawmakers to “enact a Chinese vehicle, software, and hardware ban” that would prohibit manufacturers like BYD, Chery, and SAIC from acquiring authorizations for U.S. sale—while notably leaving non-Chinese companies that have exported cars from China, like Ford and GM, to continue doing that if they so choose. [Reuters]

💪 The reborn, Chevy small-block-powered Jensen Interceptor has been fully revealed, with a face that’s a little more reminiscent of a recent Camaro than anything else. [CarBuzz]

🏁 Weekend races to watch (all times Eastern):

  • NASCAR O’Reilly Auto Parts Series at Darlington: Saturday at 7:30 p.m. on CW/ESPN
  • Formula 1 Italian Grand Prix: Sunday at 8 a.m. on Apple TV
  • World Endurance Championship 6 Hours of COTA: Sunday at 2 p.m. on truTV/Max
  • IndyCar at Laguna Seca: Sunday at 3 p.m. on Fox
  • NASCAR Cup Series at Darlington: Sunday at 5 p.m. on USA
  • NHRA Drag Racing US Nationals Finals: Monday at 12 p.m. on FS1

Got a tip or feedback for TDS? Reach out to tips@thedrive.com

Adam Ismail Avatar

Adam Ismail

Senior Editor

Backed by a decade of covering cars and consumer tech, Adam Ismail is a Senior Editor at The Drive, focused on curating and producing the site’s slate of daily stories.


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