Porsche AG, the luxurious daughter company of German automaker Volkswagen, plans to upscale its electric vehicle (EV) production and scales. However, the sporty 911 model will remain an internal combustion engine (ICE) vehicle and may never become fully electric. “The […]
Porsche AG, the luxurious daughter company of German automaker Volkswagen, plans to upscale its electric vehicle (EV) production and scales. However, the sporty 911 model will remain an internal combustion engine (ICE) vehicle and may never become fully electric. “The 911 is our icon. We will continue to build the 911 with a combustion engine. The concept of the 911 doesn’t allow a fully electric car because we have the engine in the rear. To put the weight of the battery in the rear, you wouldn’t be able to drive the car,” revealed Porsche’s CEO Oliver Blume.
The Stuttgart-based automaker plans to have eighty percent of its sales to be EVs by 2030. But as Blume reveals, the 911 will be the “last Porsche which is going for full electrification,” and that is “if ever it fully becomes an EV.” In 2020, seventeen percent of its car sales were battery-powered or hybrid plug-ins. These included the Porsche Taycan, an all-electric car that sold over 20,000 units last year. According to Blume, a significant part of the carmaker’s vehicle sales are projected to be fully electric by the end of this decade.
Among the twenty percent of Porsche’s cars that won’t be electrified is the 911, which will be given a “very sporty hybridization “instead.
Porsche has invested about $24 million in e-fuels to curb global warming and do its part in reducing carbon emissions. According to company officials, these e-fuels are carbon neutral and will replace traditional gasoline. The lesser carbon fuel will allow ICE users to enjoy their cars without worrying about environmental sustainability.
“Porsche aims to have a carbon-neutral balance throughout the entire value chain by 2030. We are the first major car manufacturer, and we want to be an automotive role model to commit to this goal,” said Blume. According to Lutz Meschke, Chief Financial Officer at Porsche, battery-powered vehicles’ transition has to be profitable. Unlike other automakers who have sold EVs on losses to please the government and uphold regulations, the luxury automaker wants to proceed in a way that will bring profits.
The Taycan brand is already bringing profits and is on a “very good path to achieve double-digit margins.” “We have to earn the same level of money with the EV products as we do with our combustion engine models. That is a must,” said Meschke. “Otherwise, we cannot achieve the same profitability level as in the past. That is our goal,” Meschke added. By 2025, Porsche is eyeing a cumulative profit increase of $11.9 billion. After reaching this target, the automaker plans to accelerate the profit by $3.6 billion every year as we advance.