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Porsche To Save Billions As They Shrink Dealer Network In China
Porsche wants to save billions in the coming years after a slower-than-expected switch to electric cars and continued weakness in the Chinese market. One of the cost-cutting measures is to shrink the dealer network in China, the German company announced.
Porsche saw both revenue and profit fall in the past quarter. Sales fell by more than 5 percent to 28.6 billion euros, while operating profit fell by more than a quarter. Chief Financial Officer Lutz Meschke said in a commentary on the figures that Chinese carmakers dominate the electric vehicle market in their country, mainly due to lower production costs.
While the executive said the third quarter was the weakest in 2024, he warned that sales in China will remain low next year. “It is unrealistic to expect China to return to the levels we saw before,” Meschke said.
