Porsche Faces Sharp Sales Decline in China and Europe Amid Market Challenges

Porsche's global sales have taken a significant hit in 2025, with the company reporting its lowest vehicle deliveries since 2020 at 279,400 units, marking a 10% decrease compared to the previous year. The most striking decline occurred in China, where sales plummeted by 26%, totaling approximately 41,900 vehicles. This marks the fourth successive year of falling sales in the Chinese market, which Porsche attributes to tough market conditions and intense competition, particularly in the electric vehicle segment. Former CEO Oliver Blume described the luxury car market in China as collapsed, citing cautious spending among wealthy consumers amid the ongoing real estate crisis.

Europe also saw notable declines, with sales decreasing by 13% across the rest of the continent and by 16% specifically in Germany. In contrast, North American sales held steady, with around 86,200 cars sold.

Among models, the Macan SUV remained the top seller, increasing sales slightly by 2% to 84,300 units, while the iconic 911 sports car also experienced a modest sales rise. However, the popular Cayenne SUV suffered a steep 21% drop in sales.

Matthias Becker, Porsche's recently appointed head of sales, highlighted the company's recalibrated approach, emphasizing realistic sales targets aligned with production constraints and subdued demand, especially in China. Additionally, Porsche is shifting its strategy back towards combustion engine models after initially focusing heavily on electric vehicles, adapting to evolving market signals and production realities.