Porsche AG sales chief Bernhard Maier said Thursday the German automaker will continue to build its vehicles in Germany regardless of what happens to the euro.
“Our customers like it that their Porsche is made in Germany, it’s reassuring to them,” Mr. Maier told reporters on the sidelines of a congress hosted by Automotive News Europe.
Confusion is currently surrounding whether Germany is prepared to back a £600billion bailout scheme to rescue the crumbling euro.
The idea is that if the Euro collapse, Germany will return to the deutsche mark – and the mark will quickly appreciate against other currencies, making exports significantly less profitable.
Now keep in mind that Porsche produces all its cars in Germany.
Therefore this will lead to huge loses, forcing the automaker to shift production outside Germany, most probably in China or US and use its relationship with Volkswagen AG (VOW.XE) to share costs.
Data last week showed German business sentiment collapsed in May and the manufacturing sector shrank as turmoil in the euro zone unsettled firms, threatening to end the immunity of Europe’s largest economy to the troubles surrounding it.
As a Greek exit from the euro zone is now openly discussed, the euro zone looks set to contract in the second quarter, hitting sentiment and with it the prospects of the German economy.