BSH Home Appliances, the German maker of Bosch, Siemens, Neff and Gaggenau appliances, is closing two German factories and cutting more than 1,400 jobs after global revenue fell 1.6% to A$24.6 billion in 2025, as Chinese and Korean manufacturers push into categories long dominated by European brands.

The restructuring lands as the company’s Australian arm, which turns over around A$495 million a year, has previously reported an after tax profit of just A$12,000, a margin close to zero.

BSH will close its Bretten plant in Germany the first quarter of 2028 and end washing machine production at Nauen by 30 June 2027. The company said production capacity had to be adjusted to changed market conditions to protect its future competitiveness.

The cuts follow a separate 2024 restructuring that affected around 450 jobs.

Revenue Below 2022 Peak

BSH, wholly owned by the Bosch Group, remains Europe’s largest home appliance manufacturer by sales. Its latest full year figures, published on 26 March 2026, show:

Year Revenue Change
2023 A$24.3bn −7.0%
2024 A$25.1bn +3.0%
2025 A$24.6bn −1.6%

Revenue remains below the 2022 peak of around A$26.1 billion.

The group employed more than 56,000 people in 2025 and operated 37 factories across about 50 countries.

The decline is not across the board. North American operations are growing and European sales recovered modestly in 2025. BSH’s US luxury brands, Gaggenau and Thermador, are performing strongly.

Management has warned that a meaningful recovery in global appliance markets is not yet in sight.

Fridges And Washers Hit Hardest

BSH’s 2025 results show sharp differences between categories:

Category 2025 sales change
Hobs and extractor hoods +2.6%
Dishwashers +2.1%
Ovens +2.0%
Small appliances +0.1%
Laundry −1.0%
Refrigeration −4.0%

The 4% fall in refrigeration hits a category where Chinese and Korean brands compete hard on price, capacity, features and energy efficiency. The laundry decline comes as BSH shuts its German washing machine line.

China And The Asian Push

China is BSH’s biggest international problem. Price sensitive consumers, a weak property market and aggressive local manufacturers including Haier, Midea and Hisense are squeezing imported premium brands.

That pressure is now global. Bosch’s 2025 annual report acknowledges that Asian manufacturers are expanding internationally, including in built-in appliances, traditionally a European stronghold, and are taking share in Asia Pacific markets.

The report names rising competition, slow property market recovery and growing consumer price sensitivity as challenges for BSH.

Electrolux Recovering

The contrast with arch rival Electrolux is sharpening their approach to markets with money now being invested into new research and development across multiple brands.

The Swedish group is showing signs of recovery in Australia and Europe under new management, with its restructuring including joint manufacturing agreements with Midea.

Australian Exposure

In Australia, Bosch, Siemens, Neff and Gaggenau compete against Miele, Smeg, Fisher & Paykel, Haier, LG and Samsung, with V-ZUG and premium Italian brands also gaining ground.

The local business faces a softening construction sector and falling values in premium housing, both key drivers of built-in appliance sales.

Retail sources say Asian brands are becoming credible alternatives in categories historically dominated by German manufacturers, and that Chinese suppliers are offering retailers higher returns for ranging their products.

Questions for BSH Australia include whether retailer discounting is eroding profitability, how Chinese competition is affecting its premium positioning, and whether European restructuring could affect local sourcing, availability or pricing.

The central issue is whether BSH Australia is generating an adequate return on almost half a billion dollars in annual revenue, or whether local retailers are earning more from the German brands than the manufacturer itself.