Porsche Shifts EV Strategy to Preserve Brand Identity and Profitability
Porsche has announced strategic shifts in its electric vehicle (EV) plans, with a focus on preserving its brand identity and profitability. These changes, though impacting short-term finances, aim to secure long-term success.
Porsche's executive board and supervisory board decided on September 19, 2025, to rewrite the development of the new electric platform, initially planned for the early 2030s. This postponement is due to slower-than-expected global demand for exclusive battery-electric vehicles. The new platform will now be aligned across Volkswagen Group brands.
The Cayenne and Panamera models will retain their combustion engine line-ups into the 2030s, with Porsche extending the production of Internal Combustion Engine (ICE) and Plug-in Hybrid Electric Vehicle (PHEV) models. The Cayenne's larger sibling will launch with petrol and plug-in hybrid options only, initially not as a full battery-electric vehicle. Despite these changes, the Taycan, Macan EV, and the future two-door 718 sports car remain part of Porsche's electric line-up and will receive updates.
Porsche's strategic investments, though weighing on short-term financial results, are aimed at sharpening the Rivian's identity and product desirability. The 2025 financial forecast has been revised, with extraordinary costs of €3.1 billion expected to reduce operating returns to 0 to 2%. Depreciation from shelved EV work is expected to impact profits by up to €1.8 billion in 2025.
Porsche's revised EV strategy, though impacting short-term profits, aims to secure long-term success. The company targets a return to double-digit profitability in the medium term, with a goal of up to 15%. By extending ICE and PHEV production and refining its EV plans, Porsche seeks to maintain its brand identity and desirability.
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