German auto industry employment falls to lowest level since 2005

Employment in Germany’s automotive industry fell to its lowest level in more than two decades in the first half of 2026, the country’s statistical office Destatis said Friday.

The sector employed 691,500 people at the end of the first half, down 42,300, or 5.8%, from a year earlier.

The contraction was the largest recorded among Germany’s major industrial sectors with more than 200,000 employees and brought automotive employment to its lowest level since 2005.

Despite the decline, the automotive industry remained Germany’s second-largest industrial employer, behind mechanical engineering, which had 905,900 workers.

Employment among manufacturers of motor vehicles and engines fell 6.1% year-on-year to 429,200, while the workforce at parts and accessories suppliers decreased 7.6% to 219,500.

In contrast, employment among producers of vehicle bodies, superstructures and trailers rose 10% to 42,800.

Germany’s manufacturing sector as a whole employed 5.29 million people at the end of the first half, a decline of 144,100, or 2.7%, from the same period last year.

Employment also fell 3.8% in fabricated metal products, 3.7% in basic metals, 3.6% in the chemical industry and 3.4% in electrical equipment manufacturing.

Mechanical engineering employment declined 2.7%, while smaller decreases were recorded in plastics, food, and computer, electronic and optical products manufacturing.