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The Porsche Macan May Not Stay All-Electric After All: Report

Porsche once hoped it would sell 80% electric vehicles by 2030. Now, it's backtracking on its EV goals.

Macan EV ICE

Photo by: InsideEVs

Andrei Nedelea

By: Andrei Nedelea

Jan 17, 2025 at 12:42pm ET

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Porsche may come back on its decision not to make a new combustion-powered Macan after production of the current model ends in 2026.
One report citing a "senior Porsche insider" says a new generation ICE Macan is being considered.
Porsche EV sales weren't so hot in 2024, which probably raised alarm bells within the company about its shift to electrified vehicles.

Porsche’s best-known models are sports cars, but the brand’s moneymakers are the SUVs: the Macan and Cayenne. The smaller of the two, the Macan, is Porsche’s global best-seller, so eyebrows were surely raised when the manufacturer announced that it would go electric-only for its next act. But now, one Porsche insider says the German automaker may be rethinking that plan.

Porsche initially announced that the original Macan, which debuted in 2014 and was discontinued in Europe last year, would remain on sale alongside the electric model in other markets (including the U.S.) until 2026. An Autocar report, quoting an unnamed “senior Porsche insider,” says the automaker is mulling a second-generation combustion Macan, even though it said it wouldn’t.

Gallery: 2024 Porsche Macan

Porsche Macan RWD (2024)

Source: Porsche

The insider explained, "The reception to the new Macan [Electric] has been positive, but we are yet to see its long-term performance, given uncertain market conditions.” Making a new ICE Macan is now being analyzed as part of a “range of product scenarios.”

Last year, Porsche sounded very optimistic about the Macan EV’s market success, with its CEO Oliver Blume even saying at one point that it was “overwhelmed” by orders. However, Macan EVs aren’t exactly flying out of showrooms, so it may have been more wishful thinking or an intentional exaggeration meant to stoke interest.

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As good as the electric Macan is, buyers are likely put off by the very high price. The base model is $75,300, but the more powerful Turbo model with all the options costs twice that. The price is hugely important, as shown by the Tesla Model Y, which isn’t exactly a direct rival, being slightly smaller, less sophisticated and not quite as luxurious, but it costs considerably less and that’s a big part of why it’s a global hit.

Porsche began changing its narrative on how quickly it planned to transition to selling mostly electric vehicles. It appeared to lose confidence in its self-imposed goal of selling 80% electric vehicles by 2030, and we also analyzed reports that it was also considering putting a combustion engine in the new 718 sports car, even though it had previously emphatically announced that the Boxster and Cayman were going electric.

The timeline for the electric 718’s arrival is also uncertain, and it likely won’t be shown this year as initially announced due to issues with its battery supplier.

The manufacturer is alarmed by the fact that sales of its Taycan crashed in 2024, dropping by 49% globally, despite its major overhaul that made one of the best sporty EVs even better. In China, things were particularly bad for the groundbreaking electric sedan.

This was confirmed by Autocar’s unnamed insider, who explained that “The downturn in Taycan sales highlights new market dynamics. We cannot rely solely on traditional assumptions about consumer behavior," he said.

Perhaps Porsche will end up giving customers different options longer than expected. As a U.S. spokesperson confirmed to us recently, nearly 30% of its global sales last year were hybrid or electric, and half of that figure was all-electric. The company may just be nervous about moving the Macan entirely away from gasoline.

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It’s ultimately all about the money and Porsche looking to ensure its future existence. Lutz Meschke, Porsche’s chief financial officer, noted in November 2024 that they were “exploring the possibility of equipping some of the originally planned electric models with hybrid drives or internal combustion engines in the future. Conceptual decisions are being made, but what is clear is that we are committed to the combustion engine for much longer.”

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Porsche isn’t alone in backtracking on its ambition to quickly transition to offering mostly electric or electrified vehicles. The other big German brands have made similar announcements, as have many other automakers, which are trying to adapt to changing market conditions. Even though hybrids, plug-in hybrids and range-extender EVs were seen as transitional vehicles that would be quickly phased out, it seems buyers prefer them over full EVs so manufacturers are reshuffling resources to add such models to their lineups.

Another reason why Porsche and other automakers are changing course is China. It is the world’s single biggest market for new cars, where the largest number of EVs was purchased in 2024. However, Chinese car buyers are increasingly opting for ever-more talented vehicles made by local brands, and they are moving away from foreign brands, even prestige names like Porsche, which sold 28% fewer cars in the People’s Republic in 2024 than the year before.

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