Leadership change amid strategic turbulence
Luxury carmaker Porsche has appointed Michael Leiters, former CEO of McLaren and former CTO at Ferrari, as its new chief executive starting early 2026, replacing Oliver Blume. The news was welcomed by investors, sending Porsche shares up 1.6%.
Leiters previously worked at Porsche from 2000 to 2013, where he played a key role in developing the Cayenne SUV. He takes over as the company faces falling sales in China, U.S. import tariffs, and the costly decision to abandon its electric vehicle ambitions in favor of combustion engines, according to Reuters.
“It’s, in a way, a poisoned chalice,” said Andy Palmer, former Aston Martin CEO. “He’s walking into a storm. It wouldn’t be easy for anyone… but I think Michael has the experience needed.”
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Strategic reversal and tough challenges ahead
Under Blume’s leadership, Porsche saw its profit margin shrink from 18% to just 2%, while its stock value more than halved. Chinese sales — once a third of global deliveries — dropped by 26% in 2025 as consumers turned to local brands like BYD and Xiaomi.
“Blume’s early bet on electric vehicles was a strategic mistake,” said Pal Skirta, analyst at Metzler Bank, noting that Leiters’ expertise in SUVs makes him “a perfect fit” for Porsche’s plan to launch a new combustion-powered model by 2030.
“Someone is returning to Porsche who not only knows the company but has also faced tough challenges elsewhere,” said Hendrik Schmidt, head of governance at DWS, a major Porsche investor.
Leiters is expected to oversee a major restructuring, including 1,900 job cuts by 2029 and a new wave of cost-saving measures.
Photo: Autocar UK
