One of the knock-on effects of international warfare in the modern world we live in happens to be delays in large supply chains that result in closing of factories and stalling of production lines. Obviously the world is a worse place for the needless deaths and the destruction that results from war, we do not wish to diminish the horrors happening during the Russian invasion of Ukraine. That said, this is a Porsche blog, and we must report the Porsche news.
The company’s factory in Leipzig, Germany will halt production of its most popular model, the small Macan CUV, as well as its large Panamera luxury sedan and wagon. A Porsche spokesperson told Automotive News that the production suspension would begin on Wednesday afternoon and run at least through the end of next week.
Porsche has been sourcing wiring harnesses from western Ukraine alongside sibling brands Volkswagen and Skoda. The harness supply incoming from Ukraine have been exhausted, and the current wartime disruption of supply means that the company doesn’t have any further harnesses with which to continue building Macans or Panameras.
Macan production accounted for over one third of the company’s sales in 2021, so any slowdown of that line is a major issue for Porsche. The sports car brand was previously on track for another record year in 2022, but between this production slowdown and the need to re-make all of the cars that sank on a ship in the Atlantic last week, it will need to overcome serious adversity to make that happen.
Presumably if this conflict continues much longer than it already has, Porsche will be forced to attempt sourcing its harnesses from a different supplier. Obviously the best outcome would be for an agreement to be reached between Russian and Ukrainian diplomats and the ceasing of the invasion. What is currently best for Porsche is also best for the entire world. End the war.
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Porsche clearly will need to make arrangements for alternative supplier(s) as this war will not end any time soon. Once Putin completes the inevitable occupation, this will be a guerrlla war of unending sniper encounters. There will be no stability for normal economic activity for many years to come. :-(