Porsche’s China Sales Plunge 42% as Local EV Rivals Surge.
Porsche’s vehicle deliveries in China fell sharply in the first quarter of 2025, down 42% year-over-year.
The German automaker sold just 9,471 vehicles between January and March, compared to 16,340 units during the same period last year.
The company attributed the decline to “the continuing tense economic situation” and a shift toward “value-oriented sales,” a move aimed at balancing demand and supply.
But the results reflect broader challenges facing foreign luxury brands in China’s increasingly competitive electric vehicle market.
Meanwhile, local upstarts continue to gain traction.
Xiaomi, a new entrant in the EV space, reported first-quarter sales of over 69,000 vehicles – more than seven times Porsche’s total for the same period.
The strong showing underscores a growing consumer appetite for tech-forward, competitively priced EVs designed by domestic manufacturers.
The numbers suggest that Porsche and other legacy automakers are struggling to maintain market share in the world’s largest auto market, where product innovation, affordability, and digital integration have become key differentiators.
As Chinese brands grow in scale and sophistication, the pressure is mounting on established players to rethink their positioning – not only in pricing, but in product relevance.