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Updated 17:57 IST, July 9th 2024

Porsche Reports Decline in Global Deliveries; China Sales fall

Porsche announced a fall in its global vehicle deliveries for the first half of 2024. It recorded a 7 per cent decline as compared to the same period last year

Reported by: Business Desk
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Porsche
Porsche | Image: Pixabay

Sales fall in China:- German luxury automobile manufacturer Porsche AG, (which is a subsidiary of Volkswagen), has announced a significant fall in its global vehicle deliveries for the first half of 2024. It recorded a 7 per cent decline as compared to the same period last year. 

This decrease is largely due to a 33 per cent year-on-year (YoY) drop in deliveries to China. Amid ongoing EU-China tariff tensions, it is a key market for Porsche. 

According to Porsche’s latest figures released, the company delivered a total of 155,945 vehicles worldwide from January to June. The decline in China has raised concerns among analysts and market observers accounting for 20 per cent of Porsche’s global deliveries.

An analyst from HSBC highlighted broader challenges in the European car market, said, " The market is, understandably, worried about China pricing weakness and the prospect of needing to pay dealer compensation,"

Porsche experienced mixed results in other major regions. Porsche saw a 6 per cent decline in deliveries in North America compared to the previous year. In Porsche’s domestic market in Germany, deliveries rose by 22 per cent to reach 20,811 vehicles during the same period.

The broader impact of geopolitical uncertainties can be seen in Porsche’s performance in China. These market conditions affect luxury car manufacturers who are reliant on global trade dynamics. The company continues to direct through these challenges. It seeks to maintain its position in key markets while adapting to the evolving economic landscapes. 

The automotive industry’s response to Porsche’s delivery figures makes evident ongoing concerns about the irregularity of international markets led the automakers to make strategic decisions to mitigate risks and sustain growth in a competitive global economy.

Published 17:57 IST, July 9th 2024