Tue, 23 Sep 2025

Tue, 23 Sep 2025 Porsche shares plunge after announcing EV rollout delay

European carmakers face intense competition from Chinese rivals and weak demand for luxury cars.

* Porsche's stock fell by over 7% after warning that delays in its electric vehicle rollout would hurt its 2025 earnings.
* The company will slow down its push for EVs due to weakened demand and focus on iconic petrol-powered sports cars instead.
* Volkswagen, Porsche's parent company, also saw a 7% drop in shares as it plans to spend billions overhauling Porsche's vehicle lineup.
* European carmakers face intense competition from Chinese rivals and a slowing economy that's reducing demand for luxury cars.
* Porsche reduced its projected profit margin from up to 7% to 2% or less due to factors like US import tariffs, declining Chinese luxury market, and slower EV adoption.
* The company will delay the launch of new EVs and extend production of combustion engine models despite a 2035 deadline for petrol and diesel car ban in Europe.
* Luxury carmakers BMW and Mercedes-Benz are also slashing costs to compete with rivals like BYD and XPeng.
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