BERLIN (Reuters) -Mercedes on Wednesday reported a 70% drop in operating profit in the third quarter, as the cost of job cuts added to U.S. tariff woes and weak demand for the German luxury carmaker.

Group earnings before interest and taxes came in at 750 million euros ($875 million) in the July-to-September period, down from 2.5 billion euros in the same period last year.

In adjusted terms, quarterly EBIT was 2.1 billion euros, impacted by special effects including payouts for redundancies.

The company maintained its guidance for the full year but warned of a "dynamic" environment, adding it would push ahead with efficiency measures across the group.

Mercedes' troubles are spread across its most important markets: tariffs weigh in the U.S., sales are falling in the highly competitive Chinese market and European emissions targets have prompted an uneasy shift towards margin-squeezing electric vehicles (EV).

Mercedes is undergoing restructuring measures to save 5 billion euros globally by 2027.

Overall, the company booked 876 million euros in expenses for restructuring programmes in the third quarter, up from 560 million euros in the prior three-month period.

($1 = 0.8575 euros)