Porsche reaffirms commitment to China despite falling sales

German sports carmaker Porsche has reaffirmed the importance of China despite falling sales in the world's largest vehicle market.

"China is and will remain an important strategic market for us, despite the current challenges facing the entire industry there," said Chief Financial Officer Jochen Breckner on Wednesday.

Deliveries in China fell 26 percent to 41,938 vehicles last year. Its largest sales region, North America, registered virtually flat deliveries at 86,229 units. Global deliveries fell 10 percent in 2025 to 279,000 vehicles.

The carmaker expects sales in China to fall further this year.

"We must adapt our presence in China to the new market conditions. This includes optimizing our dealer network and strengthening our presence in regions with high demand," Breckner said.

He said the original plan was to reduce the dealer network in China from around 150 outlets to around 100 by 2027.

"We have since adjusted this target further to around 80 outlets by the end of 2026," he said.

CEO Michael Leiters said China remains a market in which the company continues to believe, though at a different level.

Leiters, former head of McLaren, said demand for combustion-engine vehicles in China will continue to offer potential.

But he added that the market for battery-electric vehicles is subject to a price war, which Porsche will not follow for "economic and brand policy reasons".

Leiters said the company has no plans to start local production in China, but it has partnered with Chinese companies on infotainment systems that will be available in some Porsche models starting this year.