Porsche expects around 80% sales in India from EVs by 2030

Porsche AG expects around 80% of its sales in India to come from fully electrified vehicles by 2030 and is lining up three such new vehicles to be introduced here early next year, a senior company official said on Tuesday.

Porsche expects around 80% sales in India, image credit: Reuters

German luxury sports car maker Porsche AG expects around 80% of its sales in India to come from fully electrified vehicles by 2030 and is lining up three such new vehicles to be introduced here starting next year, a senior company official said on Tuesday.

The company, which sells a range of luxury sports cars and SUVs priced between Rs 88 lakh and Rs 4.26 crore, is targeting GenZ customers, start-up entrepreneurs and women as it seeks to strengthen brand presence in India, Porsche AG Executive Board Member for Sales and Marketing Detlev von Platen told PTI in an interview.

Porsche, however, has no plans in the short to medium term to locally assemble its vehicles in India, as it is focusing on establishing and strengthening the brand in India.

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"We announced that we want to be net carbon neutral by 2030. So, coming from a car manufacturer, which is more sporty-oriented, it was interesting to hear (that). By 2025, 50% of our cars will be electrified, and by 2030, we expect close to 80% of our cars to be fully battery electrified," he said.

When asked if the global targets were also applicable for India or if they could be different, he said around the company's global markets the transition from ICE (internal combustion engine) to electromobility is happening at different speeds, with some regions faster and some moderate, but "in the big scheme for Porsche, it will also apply to India".

He said the adoption of electric mobility in India has been encouraging, giving the company confidence to do well in the segment.

"We were very happy to see that the (all electric) Taycan, which was also introduced to India, became very successful.

And accounts for more than 10% of our deliveries in India. We also see a good acceptance of the (EV) technology...And the Indian consumers are very keen on brand strengths of luxury brands," he said.

In 2022, Porsche delivered 779 cars in India, a 64% growth year-on-year.

On Porsche's future product pipeline for India, Platen said, "We launched our Taycan and the next is Macan, which is an important car for us in our product line and is expected to be in India in 2024. It will be a fully electric car.

It will not be introduced later but it will be introduced as we are introducing the Macan to the world in the same period".

Following Macan, he said, "We will have our first two-door sports car 718 fully electrified by the middle of this decade, and following the 718 is a Cayenne, which is very popular here in India, (it) will be completely a new model, which will also be electrified".

Platen, however, said how fast electric mobility takes off in India would also depend on infrastructure developments in terms of charging systems and charging infrastructure.
Yet, the company is bullish about its future in India considering its target customer profile.

"We have roughly 4,000 customers in India, but we are also looking at young customers for the future, especially Gen Z. For us, creating this relationship, creating specific events, bringing our potential customers in contact with Porsche in a different way as a luxury experience is our focus," he said.

Asked if the company is looking to tap start-up entrepreneurs, he said, "Absolutely. We are really looking at bringing Porsche in the context of the younger generation".
Porsche already has a young customer base in India compared to the rest of the world, with an average age difference of more or less ten years, he said, adding in Europe, the average age of Porsche customers is 50 years whereas in India it is 40 years.

He further said, "We also see a strong development in reaching (out to) more female customers in India".

The company is investing a lot to connect Porsche with Gen Z customers in the future in the way it does its events by creating a lot of experiences, inviting them to "specific personalised journeys", Platen added.

On plans to locally assemble its vehicles in India, he said, "Porsche is more focused on value-oriented growth and not quantity growth.

Therefore, it makes no sense to simply think about CKD at the moment for us in India. We are more focused on investing in the brand, creating specific, unique customer experiences...We are focusing more on the branding side, establishing, and strengthening the brand position of Porsche in India".

However, in the long-term, he said, "I would never say never ever but as per our current midterm strategy (it) is not on the plan".

Bullish on the country, Platen said, "We see a sustainable development of India. It is the fastest-growing (major) economy in the world.

We have a strong belief and confidence that this is a sustainable development. When we look at all the investment willingness in India, when we see the higher level of integration, these are all indicators of sustainable development".

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