Porsche has now ended production of all current diesel vehicles in the face of changing consumer demand and lower demand for diesel models in Europe.
Porsche will discontinue its only two current diesel models (diesel engines supplied by VW Group) – the Macan S Diesel and Panamera 4S Diesel.
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The first generation Cayenne was the first Porsche fitted with a diesel engine back in 2009.
Porsche says that the market is moving towards electrified hybrid models, but the VW Group-owned sportscar brand also admitted the move was linked to software updates and subject to consultation with the authorities. The parent company continues to feel the impact of ‘dieselgate’ on its operations and is now investing heavily in electrification for future models.
Some reports suggest that the cost of re-engineering a diesel engine for the Macan S to meet the new Worldwide Harmonised Light Vehicles Test Procedure (WLTP) standard and deliver Porsche performance is behind the move.
Porsche boss Oliver Blume told Autocar magazine last year that diesel is not ‘so important’ for Porsche because diesel sales make up just 15% of its worldwide sales (mainly in Europe).
However, Porsche also says that the current changes do not mean it will not offer any vehicles with diesel engines in the future. The next Cayenne is set to feature a diesel powertrain, the company maintains.
Porsche e-mobility investment
By 2022, Porsche says it will invest more than six billion euros in e-mobility, focusing on both plug-in hybrids and purely electric vehicles. The decision was made by the Porsche AG Supervisory Board at its most recent meeting. “We are doubling our expenditure on electromobility from around three billion euros to more than six billion euros,” said Oliver Blume, Chairman of the Executive Board of Porsche AG. “Alongside development of our models with combustion engines, we are setting an important course for the future with this decision.” The plans have been bolstered significantly to include around three billion euros of investment in material assets and slightly more than three billion euros in development costs.
From the additional sum of three billion euros, some 500 million euros will be used for the development of Mission E variants and derivatives, around one billion euros for electrification and hybridization of the existing product range, several hundred million for the expansion of sites, plus around 700 million euros in new technologies, charging infrastructure and smart mobility.
At Porsche AG’s headquarters site in Stuttgart, a new paint shop, a dedicated assembly area, and a conveyor bridge for transporting the painted bodies and drive units to the final assembly area are currently being constructed. The existing engine plant is being expanded to manufacture electric drive trains and the body shop will also be developed. Investment is also planned for the Weissach Development Center. The Mission E project has created approximately 1,200 new jobs.
