Chinese-owned Volvo slashes 2,500 jobs and loses £1bn in value as its sales in China almost halve

Volvo Cars shares plunged nearly 30 per cent on Friday after a third-quarter operating loss of 3.7 billion Swedish crowns, down from a 5.8 billion profit a year earlier. Around 2,000 of the cuts fall in Sweden, on top of roughly 3,000 jobs axed last year. Chief executive Hakan Samuelsson called the quarter 'very disappointing'. Trump's tariffs and the end of US electric-car incentives deepened the pain.

Samuelsson on selling premium European cars in China: 'Those times are gone.'

Analysts had expected a loss of just 724 million crowns.

Volvo is also cutting a further 5 billion crowns, about £376m, from overheads and consultants.