Volvo Cars, the Swedish automaker owned by China's Geely Holding, has announced plans to cut approximately 3,000 jobs, primarily affecting office-based roles in Sweden. The decision comes as part of an 18 billion SEK ($1.9 billion) restructuring initiative aimed at strengthening the company amid industry-wide challenges, including rising material costs, slow European sales, and global tariff pressures.

CEO Håkan Samuelsson described the move as a necessary response to a "challenging period" for the automotive sector. The job cuts represent around 15% of Volvo's white-collar workforce. The company reported an 11% drop in global sales in April, and recent tariff changes have forced Volvo to reconsider its original goal of an all-electric fleet by 2030.

Volvo joins other automakers like Nissan, which also recently announced massive layoffs, in facing the intense competition and evolving dynamics of the global car market—particularly with price wars driven by Chinese EV makers like BYD.