Volkswagen’s board has approved a major cost-cutting plan to counter low-cost competition in China and U.S. tariffs. The plan, presented by CEO Oliver Blume, includes cutting 50,000 jobs, halving the model line, and ending production at four German plants. The board overcame resistance from employee representatives and the regional government. The plan aims to make Volkswagen's brands more attractive and competitive. It also foresees reducing models by 50 percent and exploring alternative uses for affected plants. Chief employee representative Daniela Cavallo calls the plan necessary for the company's future success. Volkswagen has reported a 30% drop in earnings for the first half of the year.