Porsche Halts All-Electric 718 Project as New CEO Shifts EV Strategy

Porsche’s newly appointed CEO, Michael Lietz, may cancel the yet-to-be-launched all-electric 718 Boxster and Cayman projects. According to a Bloomberg report on February 2, the project is now in jeopardy due to high development costs, repeated delays, and battery supply challenges—particularly following the bankruptcy of supplier Northvolt. Facing mounting pressures including a strategic retreat from full electrification, a 26% sales decline in China in 2025, and removal from Germany’s DAX index, Porsche is now evaluating a shift toward plug-in hybrids or retaining internal combustion engines. The company had previously announced that the next-generation flagship 718 model would return as a gasoline-powered vehicle; it may now extend this approach to additional variants. If the electric 718 project is ultimately scrapped, it would signal a significant slowdown in Porsche’s pace toward full electrification.