VW Targets More Savings to Keep Up With Intense Competition (2)

Volkswagen AG is gearing up for more cost cuts to respond to competition led by China, with Europe’s biggest carmaker expecting to come under more pressure in its mainstay region.

The manufacturer, also citing tariffs and spending on electric vehicles as a drag on its business, seesan operating return this year of as low as 4%. Extra savings will come on top of plans to shed some 50,000 jobs by the end of the decade.

“We are facing trade policy barriers, completely changed markets, different regulatory systems,” Chief Executive Officer Oliver Blume said on a media call. “The business ...