VW management to continue cost cutting

BERLIN, ‌Dec 18 (Reuters) - Volkswagen's Chief Executive Oliver Blume pledged continued ‍cost cutting ‌at Europe's largest carmaker on Thursday, as the company seeks ⁠to remain competitive amid ‌industry-wide challenges.

Speaking at the group's two-day management meeting in Berlin, Blume identified leadership, focus and finances as three central priorities for the ⁠new year, a company spokesman said.

"The task now is to continue to consistently ​reduce our costs in order to remain ‌competitive in the long term," ⁠Blume said, adding that the company has the keys to a bright future through its brands and products.

Chief Financial ​Officer Arno Antlitz said the German carmaker must generate more revenue with fewer resources to succeed going forward.

"This requires even stricter cost management and investment discipline," Antlitz said, outlining ​plans ‍for improved electric vehicle ​margins, significantly reduced fixed and factory costs, and focused investment in future technologies.

"We need more Group synergies, less complexity and a strengthening of our market position in the USA and other regions outside Europe," he added.

In December 2024, Volkswagen struck ⁠an agreement with unions to drastically restructure its German operations, including 35,000 jobs cuts ​by 2030, as it faces off with cheaper Chinese rivals and navigates a slower-than-expected shift to electric vehicles.

Antlitz said overheads this year fell below the previous ‌year's level for the first time in a long time.

(Reporting by Christina Amann, writing by Maria Martinez, editing by Susan Fenton)