OPmobility, a French company that supplies parts to automakers, has announced plans to reduce its workforce by 460 employees in Germany and 310 in France. The company described the move as a way to "accompany the transformation of the market." In Germany, OPmobility will shut down its plant in Sterbfritz, located in the Hesse region in central-west Germany. In France, the company will restructure its research and development operations at two sites — Venette in Oise and Labège in Haute-Garonne — and adjust the production capacity at its plant in Flers en-Escrebieux in Nord. Most of the 310 job cuts in France will affect R&D roles, with 40 related to production, according to Félicie Burelle, the company's general director, in a recent phone interview with journalists. The decision comes amid "a more pronounced degradation than anticipated of market conditions," according to OPmobility. This includes challenges such as a saturated automotive industry, reduced production levels, and ongoing inflation. Despite these difficulties, the company now aims for an operating margin of between 430 and 450 million euros this year. It also reaffirmed its goal to reduce net debt by the end of 2026 compared to the end of 2025. Factors contributing to market instability include increased competition, particularly from Chinese automakers, and geopolitical tensions in the Middle East, which have affected the prices of raw materials and components. OPmobility continues to focus on diversifying its product range and customer base, according to Burelle. In 2025, the company reported revenue of 11.5 billion euros and saw its net profit rise by more than 13% in the first half of 2026, even as overall sales declined. It maintained its profitability, with an operating margin of 4.8%, slightly down from 4.9% in the first half of 2025. The company confirmed its annual objectives in July and, by the end of September, announced an agreement to acquire the lighting business of South Korea's Hyundai Mobis for 390 million euros. OPmobility operates 152 factories and 40 research and development centers across the globe. The company's restructuring efforts reflect its response to ongoing challenges in the automotive industry, including shifting consumer demands and evolving technological landscapes. While job cuts are a difficult decision, the company aims to position itself for long-term growth and stability amid a rapidly changing market.