China’s EV surge strains insurance; Porsche halts electric SUV, shifting to gas/hybrid models amid profit struggles.

China's rapid electric vehicle adoption is straining its auto insurance sector, with EV owners filing claims at twice the rate of gasoline car owners due to complex technology and high repair costs, challenging insurers' pricing models. Meanwhile, Porsche is reversing its EV strategy, halting a planned electric luxury SUV and shifting back to combustion-engine and hybrid models to improve profitability, citing declining margins and weak sales. This move, expected to reduce operating profit by €1.8 billion, has led both Porsche and parent company Volkswagen to lower their annual outlook, highlighting broader struggles in Germany’s auto industry amid high costs, slowing demand, and intense global competition in the transition to electric vehicles.