Why is Porsche considering shelving its electric sports car line?

Porsche may cancel its planned 718 electric sports car line due to development delays and escalating costs associated with its electric vehicle strategy.

What impact is Porsche's EV strategy reversal having on its finances?

The company's EV course correction is expected to reduce operating profit by as much as €1.8 billion in 2025, and Porsche has faced slumping sales in China.

When did Porsche end production of its combustion-engine 718 models?

Porsche ended output of the combustion-engine 718 models last year, with plans to reintroduce them as electric variants as early as 2026.

Home / Business and Economy / Porsche Eyes Electric Sports Car Halt Amidst Cost Overruns

Porsche Eyes Electric Sports Car Halt Amidst Cost Overruns

2 Feb

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Summary

Porsche may cancel its planned 718 electric sports car line.
Development delays and rising costs are primary concerns.
A pivot back to combustion-engine and hybrid models is underway.

Porsche Eyes Electric Sports Car Halt Amidst Cost Overruns

Porsche AG is contemplating the cancellation of its planned 718 electric sports car line, signaling potential cutbacks amidst significant cost overruns. People familiar with the matter suggest that new CEO Michael Leiters is considering this move due to development delays and escalating expenses associated with the EV strategy.

The gasoline versions of the Boxster and Cayman models, which were relatively affordable entry points to Porsche ownership, concluded production in 2025. The potential shelving of the electric successors comes as Porsche faces budget constraints, exacerbated by declining sales in China and the financial impact of reversing its EV course.

Complicating matters further, deliberations about a plug-in hybrid variant for the new line would necessitate different underpinnings, potentially delaying the project by several years. This delay risks the introduction of older technology at a critical juncture when Porsche needs to generate excitement for its products.