Porsche Plans Closure of Cellforce Battery Subsidiary, 200 Jobs at Risk

Porsche is planning to largely shut down its battery subsidiary, Cellforce, putting around 200 of its approximately 280 employees at risk of losing their jobs. Founded in 2021 to develop high-performance battery cells for Porsche’s electric vehicles, Cellforce received nearly €60 million in government subsidies but faced regulatory delays, financial challenges, and a slower-than-expected shift to electric vehicles. The company has already notified the Reutlingen labor agency of mass layoffs, with only a small research and development unit expected to remain. This move reflects Porsche's broader strategic realignment amid a significant 91% profit drop in Q2 2024 and a renewed focus on internal combustion engines alongside electrification. The closure represents a setback for Porsche's ambitions to lead in electric mobility and Europe's broader efforts to establish battery production sovereignty. Porsche's CEO and development head are expected to address the workforce soon as uncertainty grows among employees in this specialized industry.