The Ultimate Wordsmith: Crafting Captivating Copy for the Web “Porsche Shutters 30% of its Dealerships in China: A Strategic Shift or a Sign of Trouble?”

For years, China was considered Porsche’s most important market, bringing in massive revenue for the European automaker. However, this year, Porsche had to announce the closure of 30% of its dealerships as sales continued to decline.

According to Carscoops, Porsche used to have approximately 138 dealerships across China, but that number is now decreasing. Alexander Pollich, CEO of Porsche China, stated that by 2026, the number of dealerships in the world’s most populous country will be reduced to around 100.

The remaining dealerships will be relocated to major cities with higher sales potential, such as Shanghai and Beijing, instead of being spread out as they are currently.

“We will be operating around 100 Porsche dealerships by 2026. This is a way to optimize profits for the benefit of both customers and dealers,” explained Alexander Pollich.

Porsche Macan. Photo: Porsche.

Porsche has not yet decided which dealerships will be closed. According to China Daily, whether a dealership ceases operations depends on its financial situation and business performance.

For eight consecutive years, China was Porsche’s largest market. In 2021, the brand sold an impressive 95,671 units in the country, outperforming sales in both Europe (86,160 units) and the US (70,025 units).

In 2022, Porsche’s sales in China still reached 93,286 units, but this number dropped to 79,283 in 2023. Things took a turn for the worse in 2024, with a 29% decline in sales during the first nine months of the year.

“We are not shying away from the challenges,” affirmed Alexander Pollich.

The CEO of Porsche China stated that the brand is still growing and believes in the market’s recovery. According to Pollich, the core values of sports cars, brand storytelling, and performance will always be important, no matter what the future holds.

Porsche has recently added a Porsche function to its WeChat customer service, allowing users to monitor the production process and receive updates on delivery times. The German automaker is also establishing a local product and technical development team to support users in China.