The U.S. Is Porsche’s Key to Growth: CEO

Booming Market

As most are well aware, Porsche is a distinctly German brand, and it's quite proud of that fact, too. However, Porsche is also a global entity that sells its wares in many countries around the world, as do many of its peers. This can be challenging given how different consumer preferences tend to be in various parts of the globe, but for Porsche, specifically, it has truly struck a chord with Americans - making it perhaps a bit unsurprising that CEO Oliver Blume considers the U.S. to be the brand's key to future growth, as he recently explained to dealers there, according to Automotive News Europe.

Photos: Porsche

Backbone of the Operation

When meeting with U.S. Porsche dealers in Singapore, Blume said that America remains the "backbone" of Porsche's business, particularly after the brand has lost considerable momentum in China as of late. Porsche dealer Robert DiStanislao noted that Porsche brass even went so far as to call the U.S. its "most durable and sustainable market."

Photos: Porsche

Shifting Gears

In China, passenger vehicle sales in general have declined since 2017, going from 24 million sales all the way down to 21.7 million, while Porsche deliveries in that country plunged 15 percent last year alone. "China was a fast-growing, high-profit market," DiStanislao said "So of course, [Porsche] loved it. But they now recognize the U.S. as the prettiest girl at the dance."

Photos: Porsche

Setting Records

This comes as no big surprise given the fact that Porsche continues to set new personal sales records in the U.S., hitting another high mark in 2023 with 75,415 deliveries. However, it faces challenges in 2024, including the well-documented shipping issue it faced as the result of a Chinese subcomponent installed in vehicles that violated U.S. anti-forced labor laws and held up ships at port for some time early this year. 

Photos: Porsche

Bouncing Back

This issue had a pretty big impact on inventory, as one might imagine, with DiStanislao noting that it essentially halved sales in January and February. However, Porsche has so much momentum in the U.S. that it still expects to exceed its record-breaking sales year in 2023 yet again. Much of this, it seems, will stem from new product launches. 

Photos: Porsche

Fresh Products

"2024 is going to be a year of product launches for Porsche - more so than any year in our history," Blume said. These launches are expected to include the Macan EV, the refreshed Taycan and Panamera, and the very first hybrid 911. 

Photos: Porsche

Production Flexibility

As far as EVs go, Porsche is rightfully keeping tabs on demand - by market - and making adjustments accordingly, dealers note. This is a stark contrast to others that remain committed to electrification, but Porsche maintains that it will manage expectations in that regard while also continuing to offer a variety of powertrains. "In our factories, we [can build] plug-in hybrids, combustion engines, and pure electric vehicles [in] parallel," said Porsche CFO Lutz Meschke.

Photos: Porsche

>>Join the conversation about Porsche's strategy right here at Rennlist.com.

>>For help with your do-it-yourself maintenance and repair projects, please visit our how-to section.