Porsche AG’s sales in China slumped for the fourth straight year in 2025, dropping to 42,000 units—less than half the 96,000 vehicles the German luxury carmaker delivered at its 2022 peak, reports Caixin. The carmaker is struggling with what its China chief called a “perfect storm” of economic strain and intensified domestic competition.
Alexander Pollich, president and CEO of Porsche China, acknowledged the downtrend in a January 26 interview, citing a seismic shift in Chinese consumer preferences. Buyers increasingly demand advanced digital features, areas where domestic are outpacing foreign rivals.
The falloff highlights the mounting pressure on traditional Western luxury brands in the world’s largest car market. Chinese players, many with roots in the internet and smartphone industries, are rapidly redefining premium mobility with aggressive pricing and superior digital integration.