Mercedes-Benz Group AG shares fell the most in four years after a deepening slowdown in China prompted the world’s biggest luxury-car maker to cut its outlook.

Mercedes-Benz cut its full-year profit margin target for the second time in less than two months, hitting European auto stocks as it joined a growing number of rivals that are blaming a weakening Chinese car market,

Mercedes-Benz Group shares fell 8% on Friday after the German carmaker made another cut to its full-year guidance, citing a slowdown in car sales caused by a slump in China’s economy.

Mercedes-Benz Group AG cut its financial forecast for the year as the luxury-car maker cited a rapid deterioration of its business in China, marking the latest blow to Germany’s struggling industrial sector.

Mercedes shares fell more than 8% Friday after the German carmaker cut its 2024 guidance on the back of weaker demand from China.

Benz on Thursday cut its full-year profit margin for the second time in less than two months, after overall sales volume fell in China. The ongoing weakness of the Chinese market for luxury cars prompted the Stuttgart carmaker to trim its outlook after having already done so as recently as July.

The German carmaker’s shares started Friday with an almost 7% drop as the company significantly cut its expected results for the full year because of weakness in Chinese demand for its vehicles. View