Porsche shares plunge after announcing EV rollout delay
Porsche’s stock fell more than 7% on Monday after warning that delays in the electric vehicle (home) presentation will disrupt the automobile manufacturer last week.
The German company caught among sports cars working with electrification and iconic gasoline, said that the demand will slow down the push for homes as demand weakens.
Mother Volkswagen’s shares also fell more than 7% on the same day After saying, he will spend billions of Porsche’s car series to overhaul.
Companies’ struggles reflect challenges for European manufacturers who face a slowing economy that reduces the demand for luxury cars from Chinese competitors and luxury cars.
Porsche said on Friday that it has reduced the envisaged profit margin from 7% to 2% or less.
“US import tariffs, decrease in the luxury market and the slowdown in the increase in electric mobility,” he said.
The company also said that it will delay the launch of the newest homes and expand the production of combustion engine models, even if the European market faces the deadline for prohibiting the sale of new gasoline and diesel cars.
Industrial executives called on the authorities, arguing that it was not possible to relax this goal.
In a strategic change, Porsche said that an upcoming sports vehicle series, which was initially planned completely electric, will now be released only with combustion engines and Plug-in hybrid options.
He added that existing models such as Panamera and Cayenne with four doors will continue to exist with non -electric options until the 2030s.
Luxury automobile manufacturers BMW and Mercedes-Benz also reduce costs to keep up with competitors.
European automobile manufacturers face violent competition from Chinese brands such as BYD and Xpeng, who were caught in a price war in the domestic home market.
Many international car manufacturers have competed in China. Where average vehicle prices have decreased by 19% in the last two years, approximately 165,000 yuan (£ 17.150; $ 23.190).
