Porsche is slowing down its electric vehicle development while continuing to produce combustion-engined cars amid slower-than-expected demand for EVs.

The German brand says that plans for a new electric vehicle, which would sit above the Cayenne as Porsche’s largest EV have now been shelved, with the upcoming model now offered ‘exclusively as combustion engine and plug-in hybrid at market launch’.

It added that models such as the Panamera and Cayenne will continue to be available wth combustion engines and plug-in hybrid set-ups ‘well into the 2030s’.

Porsche said that ‘due to the delayed ramp-up of electric mobility’, it will be delaying the launch of many new electric models. However, it did say that a future electric two-seater sports car within the same model range as the Cayman and Boxster will still arrive as planned.

Oliver Blume, Porsche CEO, said: “These decisions build on the previously announced initiatives and help us to achieve a very balanced portfolio. This increases our flexibility and strengthens our position in a currently highly volatile environment.

“With a convincing mix of combustion engines, plug-in hybrids and battery-electric vehicles, we want to meet the entire range of customer requirements. In the medium term, this approach is intended to support our business model and strengthen our market position.”

The brand added that ‘considerable additional burdens’ include ‘US import tariffs, the decline in the Chinese luxury market and the slowdown in the ramp-up of electric mobility’ were key reasons for the company’s reevaluation.