Investing.com -- Volkswagen CEO Oliver Blume said today that the German automaker's overhead costs are more than 30% higher than comparable companies, according to an internal company interview.

Blume stated that the frequently cited figure of around 50,000 jobs worldwide is not a fixed target but reflects the scale of action needed to meet cost objectives relative to competitors. The cost disadvantage amounts to about 50,000 positions, which provides broad orientation rather than serving as a cutback target.

"This is not a crisis for VW, but a crisis affecting the entire motor industry," Blume said in the internal interview.

The CEO said Volkswagen currently offers around 150 models across brands. By cutting variants and overlaps, there will be around 75 models in the future. From 2027 onwards, it will gradually become clear how the company is reducing complexity in the model offering and bringing greater focus to its lineup.

Blume said the company does not expect competitive capacity utilization in Emden, Hanover, Zwickau, and Neckarsulm plants in the 2030s. No decision has been made on plant closures.

"We can't expect global markets to improve, on the contrary risks will intensify," Blume said. He added that many of the company's technical achievements are not immediately apparent and are overshadowed by enormous external financial pressures.

The CEO said Volkswagen has not yet considered the costs of new competitors from China with their new plants in Europe. The company wants to be successful worldwide, set technological standards, and remain firmly rooted in Germany