Currently reading: Ford cuts 1000 jobs at Explorer, Capri factory amid weak EV demand

Ford's German EV factory is running well below capacity as European demand lags expectations

Ford will cut up to 1000 jobs at its electric car factory in Cologne, Germany, in response to lower than expected EV demand across Europe.

The former home of the Fiesta, which builds the Explorer and Capri crossovers following a $1 billion revamp, is operating far below its capacity.

It can produce 250,000 cars per year yet, according to figures from industry body Jato Dynamics, Ford sold less than 19,000 Explorers and far fewer Capris across Europe in the first half of 2025.

In response, Ford is again slashing its German workforce, having axed 2900 roles in the country late last year as part of a dramatic 14% reduction of its European staff base in response to slow EV sales.

In a statement sent to Autocar, Ford said: "Sales of electric vehicles in Europe are still lagging behind industry forecasts. In 2023, when Ford opened the Electric Vehicle Centre in Cologne, industry expectations for new electric vehicle registrations in Europe were at 35%. Today, we are still well below this level: only 20% of new vehicle registrations in Europe are expected to be EVs by the end of 2025.

"Consumers remain hesitant, not least because CO2 regulations in Europe continue to evolve and promised investments in charging infrastructure and purchase incentives have not been delivered.

"Ford is continuously evaluating its production volumes and making adjustments to its manufacturing schedule based on market demand. In Europe, demand for electric passenger vehicles continues to be significantly below industry projections. As a result, Ford will adjust production at the Cologne plant to a single shift operation beginning in January 2026.

"This step will result in the reduction of up to 1000 positions at the Cologne Electric Vehicle Centre. We understand the impact this has on our employees, and we are committed to supporting those impacted. As part of this process, we will be offering voluntary separation packages."

Ford hasn’t said how many workers will remain at Cologne, but before the last round of cuts in November 2024, around 11,500 people were understood to be employed there.

Meanwhile, Ford will end production of the Focus at its other German factory, in Saarlouis, this November, whereupon it will close the site for good.

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Felix Page

Felix Page
Title: Deputy editor

Felix is Autocar's deputy editor, responsible for leading the brand's agenda-shaping coverage across all facets of the global automotive industry - both in print and online.

He has interviewed the most powerful and widely respected people in motoring, covered the reveals and launches of today's most important cars, and broken some of the biggest automotive stories of the last few years. 

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