Porsche Rethinks EV-Only Macan

Porsche is deciding whether to reverse its decision to make the second-generation Macan an exclusively electric model. 

Among a range of product scenarios being evaluated by the German automaker is a return to internal-combustion engines and a new plug-in hybrid drivetrain option for what has historically been one of its best-selling vehicles, WardsAuto has learned.

The Macan, launched in 2014, quickly became Porsche’s best-selling model, achieving record sales of 88,362 units in 2021. Under Porsche’s earlier model strategy, only the Panamera and 911 were slated to retain internal-combustion engines by 2030. However, the sluggish uptake of electric vehicles and significant challenges in China – where Porsche’s sales declined 28.2% in 2024 – are prompting a comprehensive review of this strategy.

The potential shift in strategy for the Macan follows Porsche’s announcement of a 3% drop in global sales in 2024 compared to a year earlier at 310,718 units, in part due to a significant downturn in sales of the battery-electric Taycan.

In 2024, Taycan sales declined 48.7% over 2023 at 20,836 units despite a midcycle upgrade.

As a result, Porsche has slashed Taycan production at its Zuffenhausen factory in Germany into 2025.

Macan saw a 5.2% decline over the past 12 months. Now sold as an all-electric model in Europe but continuing to be sold with ICE power in other markets, Porsche’s previously best-selling model recorded 2024 sales of 82,795 units, down by 4,560 units on 2023.

In announcing its annual results, Porsche says Macan sales included 18,278 units of the new electric model and 64,517 units of the original ICE model, the latter of which dates back to 2014.

The downturn in sales for the Taycan, Macan and Panamera in 2024 were offset by sales increases for the Cayenne, 911 and 718 Boxster/Cayman.

Despite investing billions of dollars in electrified-vehicle technology and benefiting from generous subsidies in key markets, Porsche’s top-selling model in 2024 remained the ICE-powered Cayenne in both SUV and SUV Coupe body styles.

Porsche attributes some of the sales disparity to the transition period following the introduction of the Macan BEV (pictured, below). However, the company’s deputy chairman and chief financial officer, Lutz Meschke, has signaled a broader strategic shift, acknowledging that ICE models will now remain a critical part of Porsche’s lineup for longer than previously anticipated.

Initially, Porsche aimed for electric vehicles to account for 80% of its global sales by 2030. But the company now states that achieving this figure will depend on customer demand.

“We are exploring the possibility of equipping some of the originally planned electric models with hybrid drives or internal-combustion engines in the future,” says Meschke. “Conceptual decisions are being made, but what is clear is that we are committed to the combustion engine for much longer.”

While the primary focus for extending ICE production has centered on the upcoming Cayenne and a new, larger SUV model internally codenamed K1, sources within Porsche suggest that a new internal-combustion Macan is also being reconsidered as part of a broader strategy.

“The reception to the new (electric) Macan has been positive, but we are yet to see its long-term performance given uncertain market conditions,” says a senior insider. “The downturn in Taycan sales highlights new market dynamics. We cannot rely solely on traditional assumptions about consumer behavior.”

If Porsche decides to maintain an ICE-powered Macan, it would mirror the approach taken by Volkswagen Group sibling Audi. Alongside its Q6 e-tron electric model, Audi recently unveiled the third-generation Q5  with a choice of gasoline, diesel and plug-in hybrid drivetrains.

The Macan and Q5 have historically shared platforms and drivetrains, a tradition that could continue if the ICE Macan returns.

Porsche’s electric plans continue to face significant challenges. The electric 718 Boxster, initially scheduled for 2025, faces delays due to supply chain issues with its battery supplier, Northvolt, which recently filed for bankruptcy amid rising debts and slower-than-expected production scaling.