The German automotive company Porsche SE is considering the possibility of returning to the defense business.

The German media Esut reported that after billion-dollar losses last year in both its own group and Volkswagen, the holding company is looking for new areas of activity.

The German holding Porsche Automobil Holding SE (Porsche SE) recorded a net loss of €20 billion in 2024.

The holding is the majority shareholder of Volkswagen and also owns 25% of the ordinary shares of Porsche AG.

Managers insist on strict cost-cutting measures and are looking for new business areas. The possibility of entering the defense industry is also being discussed.

Porsche is no stranger to the defense sector in the post-war period. Since 1958, the Dr. Ing. h.c. F. Porsche GmbH company has been involved in the development of a new tank for the Bundeswehr, particularly in the area of the chassis.

Upon its official commissioning in October 1963, the new battle tank was named Leopard and handed over to the military.

Porsche also attempted to secure an order from the young Federal Republic for the Porsche Type 597 off-road vehicle.

In 1953, the German government announced a tender for the construction of an off-road vehicle for the military. Porsche took an interest in this tender and presented its prototype.

Despite the fact that Porsche clearly outperformed its competitors, the German armed forces chose the DKW Munga, which was cheaper.

The Porsche 597 Jagdwagen became the first off-road vehicle in the company’s history.

Meanwhile, Rolls-Royce Power Systems AG is working on developing a new alternative engine for the Leopard 2 tank.