Audi’s deliveries in China dropped 19%, while North America excluding Mexico saw a 17% decline.

The German automaker, part of Volkswagen Group, announced a lower full‑year outlook due to worsening market conditions and rising Middle East tensions. Chief Financial Officer Juergen Rittersberger said the industry faces “increased pressure to act” and that Audi must “realign our business model and implement large‑scale structural improvements.”

Last year Audi closed its Brussels plant and plans to cut up to 7,500 jobs over the next few years, while boosting productivity, speed and flexibility at German sites. The company aims to save more than 1 billion euros ($1.14 B) annually to counter U.S. tariffs and fierce competition in China.