Porsche Deliveries Fall on China Woes and Model Gaps

Porsche car deliveries fell 10% in 2025 as demand was hit by a slowdown in luxury spending in China and as it ceased production of its 718 Boxster and 718 Cayman models through the year.

The German luxury sports-car maker said Friday that it delivered 279,449 cars in the year, down from 310,718 in 2024.

The company had a tumultuous year as it contended with a stuttering transition to electric vehicles and a tough Chinese market, while the Trump administration’s automotive tariffs presented a further headwind.

Deliveries in its largest sales region of North America were virtually flat at 86,229, but continued challenges in China meant deliveries in the country dropped 26% to 41,938 vehicles.

Automakers have faced intense competition in China, sparking a prolonged price war as rivals cut prices to win customers, while a lengthy property market slump and economic-growth concerns in the country has also led to buyers pulling back on luxury spending.

“Key reasons for the decline remain the challenging market conditions, particularly in the luxury segment, and the very intense competition in the Chinese market, especially for all-electric models,” the company said.

Other German brands including Audi, BMW and Mercedes-Benz have all recently reported that the challenging Chinese market hit demand last year.

In Europe, Porsche deliveries fell 13% to 66,340 cars excluding its home market of Germany, while German deliveries dropped 16%.

The company cut guidance several times last year as it warned of hits from U.S. import tariffs, investments in new combustion engines and hybrid models amid the slow uptake of EVs, and the competitive situation in China.

Porsche also last year announced plans to scale back its EV ambitions and instead expand its lineup with more gas-powered and plug-in hybrid models than it had originally planned.

However, in its statement Friday, the company said it increased its share of electrified-vehicle deliveries in the year. Around 34% of vehicles delivered worldwide were electrified, an increase of 7.4 percentage points on year, with about 22% all-electric vehicles and 12% plug-in hybrids.

That leaves its global share of fully-electric vehicles at the upper end of its target range of 20% to 22% for 2025.

In Europe, for the first time in 2025, more electrified vehicles than purely combustion engine vehicles were delivered.

The Macan topped the delivery charts in the year, while the 911 reached a record high with 51,583 deliveries worldwide, it said.

Porsche said it is investing in its three-pronged powertrain strategy and will continue to respond to increasing demand for personalization requests from customers.

“We have a clear focus for 2026,” Sales and Marketing Chief Matthias Becker said. “We want to manage supply and demand in accordance with our ‘value over volume’ strategy.

“At the same time, we are realistically planning our volume for 2026 following the end of production of the 718 and Macan with combustion engines.”

Australia’s accommodation sector is entering the peak summer travel season with renewed confidence – but structural challenges around staffing and technology adoption remain unresolved.

The third edition of the Australian Accommodation Barometer, released by Booking.com in partnership with Statista, draws on insights from travel executives across hotels, tourism operators and alternative accommodation providers nationwide.

Despite ongoing geopolitical and macro-economic uncertainty, 75 per cent of Australian accommodation operators report a positive business outlook for the coming season, a marked improvement from the sector’s low point of 61 per cent in 2022.

Confidence varies by state, with Victoria recording the strongest sentiment around business development over the past six months.

That optimism is translating into investment. Nearly half of all respondents plan to increase investment in the months ahead, while a further 35 per cent intend to maintain current levels.

Larger chain hotels are leading the charge, while small and mid-sized operators and lower-rated properties are taking a more cautious approach.

One of the clearest growth drivers identified in the report is event-led tourism, which is increasingly helping operators smooth out the peaks and troughs of traditional seasonality.

Among accommodation providers that have felt the impact of events, almost half reported an increase in international or long-haul guests, while 46 per cent saw stronger booking volumes during typically quieter periods.

Financial benefits were also evident, with higher revenue per room and longer stays reported across parts of the sector.

To capitalise on this shift, many operators are embedding events into their broader strategies.

More than a third already host events to attract group and non-leisure travellers, while partnerships with wedding planners and event organisers are proving particularly effective.

Looking ahead, over half of respondents plan to actively collaborate with event organisers, and many are seeking closer alignment with local governments and destination marketing bodies.

Yet behind the positive headline figures, staffing remains a persistent pressure point.

On average, Australian hotels expect to hire more than seven employees over the next year, but filling senior and specialised roles continues to be difficult.

High salary expectations, long or irregular working hours and skills shortages were all cited as key barriers, alongside the cost and complexity of training less experienced staff.

Technology adoption presents a similar fault line.

While most operators recognise the potential of digital tools and artificial intelligence, particularly in marketing, customer service and cybersecurity, uptake remains uneven.

High implementation costs, integration challenges and a lack of technical expertise are slowing progress, particularly for smaller properties, raising concerns about a widening digital divide across the sector.

“While the sustained optimism among Australian accommodation providers is genuinely encouraging, our findings highlight clear and urgent challenges,” Todd Lacey, Regional Manager for Oceania at Booking.com, said.

“The skills shortage remains a major bottleneck, and the high cost and complexity of digital technology risks creating a digital divide where smaller businesses are left behind.

“However, the industry is not standing still; proactive strategies like embracing collaborative approaches to event tourism are showing real success in tackling seasonality, with accommodations seeing a crucial rise in bookings during typically low-demand periods.”

As Australia is in the midst of a busy summer, the barometer suggests an industry buoyed by demand and opportunity, but increasingly defined by a split between those able to invest and adapt, and those struggling to keep pace.

Porsche Deliveries Fall on China Woes and Model Gaps

The sports-car maker delivered 279,449 cars last year, down from 310,718 in 2024.

New research shows most accommodation operators are confident heading into the 2025–26 peak season, even as staffing shortages and technology gaps persist.