Porsche China and Dealers Facing Industry Changes

TapTechNews May 27th news, Porsche China today released a joint statement with all authorized dealers titled Sweeping away the clouds, perceiving the right view, and persisting forward. In the statement, it is said that the current automotive industry is undergoing unprecedented major changes, and Porsche China and dealers are jointly facing several complex issues, with both opportunities and challenges.

Porsche China stated that it has always maintained a long-term and mutual trust regular dialogue mechanism with all authorized dealers. In the period of industry transformation and transition, automotive manufacturers must always actively listen to the voices from the front line of dealers. Only by cooperating more closely and supporting each other between manufacturers and dealers can we better meet the needs of Chinese consumers according to local conditions and achieve sustainable win-win development.

Porsche China said that it will work with dealers to seek effective ways to actively respond to market changes and discover new opportunities in challenges. These discussions involve many aspects, including but not limited to business policies, local customer insights, customer service, and electrification transformation and many other key areas.

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TapTechNews attached the background:

According to sources familiar with the matter, at the Porsche China dealer conference earlier this year, three Porsche China dealers, namely Xinfengtai, Baideli, and Meidong Group, had objections to this year's sales tasks and demanded compensation from Porsche China for the losses in selling new cars, but it has not been properly resolved so far.

The Meidong Group demands a subsidy to a 1% gross profit of new cars; dealers such as the Baideli Group rely on the Automobile Distribution Association to send a letter, demanding a subsidy of 4% gross profit. However, since the three protesting enterprises are not the core dealers of Porsche in China, their demands have not received a timely response from Porsche China.

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